Company Number: 13180025

Analysis Date: 2025-07-29 16:55 UTC

1. Credit Opinion: DECLINE
   ASM INVEST LTD presents significant credit risk. The company has been operating since 2021 but shows a deteriorating financial position over the last three years. The latest accounts to 28 February 2024 reveal net liabilities of £975, indicating an erosion of working capital and shareholders’ funds from £2,013 in 2021 to a negative position. Given the consistent negative net current assets and the lack of fixed assets or tangible collateral, the company’s ability to meet short-term obligations is questionable. Furthermore, the micro-entity status and absence of employees suggest a very small operation with limited operational scale and financial buffer.

2. Financial Strength:
   The balance sheet is weak with current liabilities exceeding current assets by £975 at the latest year-end. Shareholders’ funds have declined from a positive £2,013 in 2021 to negative £975 in 2024, reflecting accumulated losses or withdrawals not offset by capital injections. The absence of fixed assets means the company holds no long-term assets to support lending. Overall, the financial position is fragile with no evident capital base or asset backing.

3. Cash Flow Assessment:
   The current asset base has shrunk drastically from £228,708 in 2021 to just £39 in 2024, which could indicate very limited cash or receivables available to fund operations. Current liabilities remain relatively high (£1,014 in 2024), resulting in negative net working capital. This suggests cash flow constraints and potential liquidity issues, raising concerns about the company’s ability to service debt or suppliers promptly without external support.

4. Monitoring Points:

• Monitor updated financial filings for any changes in net assets or working capital position.
• Watch for any capital injections or director loans that may improve liquidity.
• Review payment history and any overdraft or credit facility usage to assess ongoing cash flow management.
• Track any changes in business activity or scale, such as new contracts or asset acquisitions, which may improve financial stability.