ALTERED IMAGE MEDIA AND SECURITY LTD

Executive Summary

ALTERED IMAGE MEDIA AND SECURITY LTD displays a deteriorated financial position with zero net assets and no current liquidity as of the latest accounts, indicating operational cessation or dormancy. The company’s weak balance sheet and cash flow profile do not support new credit facilities. Credit extension is not recommended until financial recovery is demonstrated.

ALTERED IMAGE MEDIA AND SECURITY LTD - Analysis Report

Company Number: 14460231

Analysis Date: 2025-07-20 18:26 UTC

1. Credit Opinion: DECLINE
   ALTERED IMAGE MEDIA AND SECURITY LTD exhibits significant financial deterioration over a short period. The latest financials as of 28 February 2025 report zero assets and liabilities, effectively showing no operational or financial substance. This is a sharp decline from prior years where the company had net assets around £4,500 and a modest positive net working capital. The absence of fixed and current assets combined with no creditors suggests the company has either ceased trading or is dormant financially, which undermines its ability to service any new credit facilities. Given the lack of financial resilience, no track record of profitability or positive cash flows, and no tangible equity buffer, extending credit poses high risk.

2. Financial Strength: Weakening and Minimal
   The balance sheet has collapsed from net assets of £4,595 (Oct 2024) and £22,702 (Oct 2022) to zero net assets in Feb 2025. Fixed assets have been fully written down. Current liabilities previously exceeded current assets, resulting in negative net working capital, but both assets and liabilities have now vanished. Shareholders’ funds have been exhausted to nil, indicating erosion of financial strength. The company is categorized as micro-entity with minimal financial scale and no visible improvement in net asset base. This signals significant financial distress or a cessation of business operations.

3. Cash Flow Assessment: Not Positive, No Visible Liquidity
   The latest accounts show zero current assets and liabilities, implying no cash or receivables on hand. Prior periods revealed a working capital deficit (~£12,000), indicating liquidity strain even when the company was operational. The absence of assets and liabilities now points to negligible cash flow generation capacity or a halt in business activity. With an average of 3 employees reported, ongoing payroll and operational expenses require liquidity which is currently unsupported by the balance sheet. This weakens the company’s ability to meet short-term obligations and cash flow needs.

4. Monitoring Points:

• Monitor filing of next accounts and confirmation statement to assess any change in trading status or financial health.
• Watch for indications of asset acquisition or restoration of working capital to gauge revival of operations.
• Review director conduct and any external credit references for signs of financial distress or restructuring.
• Track any material changes in ownership or capital injection that could improve financial footing.