ASSOCIATION OF PROFESSIONAL DECLUTTERERS AND ORGANISERS

Executive Summary

The Association of Professional Declutterers and Organisers demonstrates adequate but declining financial strength typical of a young micro-entity. Its liquidity position remains positive, though rising current liabilities warrant caution. Conditional credit approval is recommended with ongoing monitoring of cash flows and asset trends to mitigate risk.

ASSOCIATION OF PROFESSIONAL DECLUTTERERS AND ORGANISERS - Analysis Report

Company Number: 14018303

Analysis Date: 2025-07-20 12:31 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   The Association of Professional Declutterers and Organisers is a private company limited by guarantee, operating since 2022. Its credit profile is moderate due to limited financial scale and recent establishment. The company shows positive net current assets but a noticeable decline in net assets from £63,297 in 2022 to £22,731 in 2023, indicating reduced financial resources. While it has no employees and operates a low fixed asset base, the company’s ability to service debt appears adequate at this early stage but requires close monitoring of cash flows and liabilities given the asset reduction. The lack of audit and small scale accounts limit transparency, warranting conditional approval with controls on exposure and regular financial updates.

2. Financial Strength:
   The balance sheet indicates micro-entity scale with total net assets of £22,731 at 31 December 2023, down from £63,297 the previous year. The company holds modest fixed assets (£1,047) and current assets (£51,245), mainly cash or equivalents, against current liabilities of £29,561. The net current assets of £21,684 support a positive liquidity position but have decreased significantly from the prior year’s £63,297, reflecting increased short-term obligations or reduced cash holdings. The company has no shareholders’ equity in the traditional sense due to its guarantee structure but retains reserves consistent with net assets. Overall, the balance sheet is sound but shrinking, indicating a need to scrutinize operational efficiency and capital usage.

3. Cash Flow Assessment:
   Current assets substantially exceed current liabilities, providing reasonable short-term liquidity. However, the sharp increase in current liabilities from £7,001 in 2022 to £29,561 in 2023 suggests higher short-term obligations that may pressure working capital. The absence of employees and low fixed assets imply minimal operating overheads, potentially easing cash flow strain. As the income statement is not provided, cash generation capacity is uncertain but the existing net current asset buffer is a positive indicator. Close review of debtor collection and creditor payment terms is recommended to ensure ongoing liquidity.

4. Monitoring Points:

• Track quarterly cash flow statements to detect early signs of liquidity stress due to rising current liabilities.
• Monitor changes in reserves and net assets for further erosion or improvement.
• Review any new liabilities or guarantees given by the company.
• Keep watch on director changes and governance stability as this company has multiple recent appointments and resignations.
• Ensure timely filing of accounts and returns continue to maintain compliance and transparency.