Company Number: 12657698

Analysis Date: 2025-07-20 16:08 UTC

1. Credit Opinion: APPROVE
   Apollo Heating Limited demonstrates a positive and improving financial position since incorporation in 2020. The company’s net assets have grown steadily each year, indicating profitability and retention of earnings. The micro-entity size limits the extent of financial information available, but the consistent increase in net current assets and shareholders’ funds supports the company’s ability to meet short-term obligations. No overdue filings or legal issues are present, and the director has maintained compliance. Based on this, the company appears capable of servicing credit facilities with manageable risk.

2. Financial Strength:
   The balance sheet shows a solid upward trend in net assets from £100 at incorporation (2020) to £12,397 in 2024. Current assets have increased from £1,622 in 2021 to £13,810 in 2024, while current liabilities remain low and stable (under £1,500). The net current assets (working capital) position is strong at £12,397, reflecting a healthy liquidity buffer. The absence of long-term liabilities and reliance solely on shareholder funds suggests conservative financing and limited leverage, which reduces financial risk.

3. Cash Flow Assessment:
   Although explicit cash flow statements are not provided, the increase in current assets relative to liabilities indicates positive cash flow management. The company’s working capital is adequate to cover short-term debts, supporting liquidity and ongoing operations. The presence of one employee and steady growth in assets implies operational scaling with controlled expenses. However, cash balances are relatively modest, so monitoring cash flow generation remains important to ensure continued operational funding.

4. Monitoring Points:

• Maintain growth trajectory and monitor net current assets to ensure liquidity remains sufficient to cover liabilities.
• Watch for any increase in liabilities or changes in working capital structure that could pressure cash flow.
• Ensure timely filing of accounts and confirmation statements continue to avoid regulatory risk.
• Monitor business environment in plumbing and heating installation sector for potential impact on revenue and margins.
• Keep oversight on director conduct and any changes in management or ownership that might affect governance.