Company Number: SC755857

Analysis Date: 2025-07-29 12:33 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Aratellus Group Limited is a newly incorporated holding company (since Jan 2023) with no trading history reported yet. It holds substantial current assets mainly consisting of intercompany debtors (£3.8M) and a significant long-term creditor loan (£1M). The balance sheet shows strong net assets of nearly £3M, but the company currently has no employees and no income statement filed, indicating a lack of operating cash flow. The directors appear experienced and there are no adverse records. Credit approval is recommended subject to confirmation of the underlying group's cash flows and repayment capacity of intercompany balances, plus review of the £1M long-term loan terms.

2. Financial Strength:
   The company has a robust balance sheet with net assets of £2.97M supported by fixed assets (£332k) and large current assets (£3.85M). The current assets are overwhelmingly intercompany receivables, which may not be readily liquid but indicate group funding support. Current liabilities are low (£212k), and there is a £1M creditor loan payable after one year, which constitutes the main debt exposure. Shareholders' funds are strong at £3.35M (including share premium), offset by retained losses of £386k. Overall, the financial position is solid for a holding company, but reliant on group relationships.

3. Cash Flow Assessment:
   Cash on hand is low (£44k) with no trading cash flow evident. The working capital position is positive at £3.64M, but this is mostly tied up in intercompany debtors, which may limit cash liquidity. The company’s ability to meet short-term obligations appears good, but the lack of operating cash inflows means repayment of the £1M long-term loan depends on group cash generation or refinancing. Monitoring the group's cash flow and intercompany receivables collection will be critical.

4. Monitoring Points:

• Timely repayment or refinancing of the £1M long-term creditor loan.
• Aging and collectability of intercompany debtors.
• Confirmation of the underlying group’s operating cash flows and profitability.
• Any changes in director appointments or shareholder control, especially given significant ownership by Infinity Secretaries Limited and Mr Luis Perez.
• Filing of forthcoming accounts including income statements to assess trading viability.