Company Number: 14785684

Analysis Date: 2025-07-20 12:42 UTC

1. Credit Opinion: DECLINE. Andrew Mac Training Ltd is a newly incorporated micro-entity with its first financial year ending 31 December 2023. The reported financials show net current liabilities of £1,323 and negative net assets of the same amount, indicating a weak balance sheet with more short-term liabilities than current assets. The absence of positive equity and the small scale of operations (2 employees) raises concerns about the company’s ability to service debt or meet additional financial commitments at this stage. There is no historical financial track record to demonstrate cash flow stability or growth trajectory. Given these factors, extending credit facilities would present a high risk.

2. Financial Strength: The balance sheet shows total current assets of £15,591 but creditors due within one year exceed this at £16,914, resulting in net current liabilities of £1,323. Total net assets are negative £1,323, reflecting a capital deficiency. Shareholders’ funds are also negative, implying the company is technically insolvent on a net asset basis. As a micro-entity in the human resources provision sector, the company’s asset base is minimal, and no fixed assets are reported. This weak financial position restricts the company’s capacity to absorb operational shocks or invest in growth.

3. Cash Flow Assessment: No direct cash flow statement data is provided, but the working capital position is negative, indicating potential liquidity pressures. Current liabilities exceed current assets, suggesting the company may face challenges meeting short-term obligations without additional capital injections or revenue growth. The presence of only two employees indicates a small operational footprint, likely with limited cash inflows at this early stage. Without evidence of positive operating cash flow or external funding, liquidity risk is elevated.

4. Monitoring Points:

• Quarterly updates on cash flow and working capital position to detect liquidity improvements or deterioration.
• Progress on revenue generation and profitability in subsequent accounting periods to assess business viability.
• Any new debt or credit facilities sought and their terms, especially regarding covenant compliance.
• Changes in ownership or director involvement that could impact company governance or financial support.
• Timely filing of future accounts and confirmation statements to maintain transparency and compliance.