Company Number: 12616039

Analysis Date: 2025-07-20 15:11 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   BERNARD MAGEE BRIDGE LTD demonstrates a strong liquidity position and solid net assets, indicating capacity to meet short-term obligations. However, the declining net assets and current assets over the last two years, along with reduced cash balances, suggest caution. The company is in a niche amusement and recreation sector, which can be sensitive to economic cycles. Management appears stable with family control and no adverse records. Approval is recommended subject to monitoring and confirmation of stable or improving cash flow trends.

2. Financial Strength:
   The company’s net assets decreased from £257,466 in 2023 to £219,646 in 2024, a reduction of approximately 15%. Fixed assets are modest (£27,000) and depreciating, but the company maintains a healthy equity base with shareholders’ funds matching net assets. Current liabilities have reduced significantly from £162,612 to £97,066, improving the working capital position. Overall, the balance sheet remains strong for a small private limited entity, with no indication of over-leverage or insolvency risk.

3. Cash Flow Assessment:
   Cash at bank declined from £290,280 in 2023 to £235,832 in 2024, which is a notable decrease but still represents a strong cash buffer relative to current liabilities. Debtors have also reduced from £97,934 to £53,880, potentially indicating improved collection or lower sales. Net current assets remain robust at £192,646. The company’s ability to maintain a large cash reserve relative to short-term liabilities suggests good liquidity, but the downward trend in cash and receivables should be watched closely.

4. Monitoring Points:

• Cash balances and receivables trends for signs of continued decline or collection issues.
• Profitability metrics (not disclosed here) to ensure the decline in net assets is not due to recurring operational losses.
• Industry and economic conditions impacting the amusement and recreation sector.
• Any changes in director or shareholder control that might affect governance.
• Filing of next accounts and confirmation statements on time to ensure compliance and transparency.