Company Number: 13273674

Analysis Date: 2025-07-29 14:16 UTC

1. Credit Opinion: DECLINE
   Anoxart Limited shows a significant deterioration in financial position in the latest year ending March 2024. Despite being active and compliant with filings, the company reports net current liabilities of £27,622 and negative net assets of £21,164, compared to positive net assets of £4,221 the previous year. The sharp increase in current liabilities, especially trade creditors and amounts owed to related parties, alongside a low cash balance of £11,569, raises concerns about its ability to meet short-term obligations. The company’s operating lease commitments total £146,071 over the next five years, which adds ongoing financial pressure. Given these factors and the absence of an audit or detailed profit and loss disclosure, the company is currently not creditworthy for new facilities without significant additional security or guarantees.

2. Financial Strength:
   The balance sheet reveals a rapid weakening of financial strength. Tangible fixed assets increased modestly to £6,458, but this is insufficient to offset rising liabilities. The company’s working capital position has reversed from a positive £2,758 to a negative £27,622, reflecting a liquidity squeeze. Shareholders' funds have eroded from £4,221 to a deficit of £21,254, indicating accumulated losses or increased liabilities not covered by equity. The company’s share capital is nominal (£90), providing minimal buffer. The increase in trade debtors to £34,008 and significant amounts owed to directors and related entities (£68,135) suggest reliance on internal financing and potential cash flow timing issues.

3. Cash Flow Assessment:
   Cash on hand remains low at £11,569, insufficient to cover immediate liabilities of £93,130. The large current liabilities relative to cash and debtors imply strained liquidity. The growth in debtors from £4,464 to £53,939 is concerning unless the company can efficiently convert these receivables into cash. Significant operating lease commitments further strain cash flow. The company’s reliance on director loans and related party balances signals potential working capital support from insiders but also exposes risk if this support is withdrawn.

4. Monitoring Points:

• Monitor net current assets and cash flow closely to detect further liquidity deterioration.
• Track trade debtor ageing and collection efficiency to assess conversion into cash.
• Review operating lease obligations and any renegotiation efforts to reduce fixed costs.
• Observe any improvements in profitability or equity injections that could stabilize net assets.
• Watch for changes in related party balances that may affect informal financing arrangements.