BESTSAFE (UK) LIMITED

Executive Summary

BESTSAFE (UK) LIMITED demonstrates a solid micro-entity financial position with strong liquidity and net asset growth in its early years of operation. Given limited scale and recent director changes, credit approval is recommended with conditions to monitor cash flow and operational expansion. The company currently appears capable of meeting short-term obligations but requires vigilance on business development and management stability.

BESTSAFE (UK) LIMITED - Analysis Report

Company Number: 13871662

Analysis Date: 2025-07-20 13:30 UTC

1. Credit Opinion: APPROVE with conditions
   BESTSAFE (UK) LIMITED is an active micro-entity with a very recent incorporation date (2022) and currently operating under a single-shareholder/director structure. The company shows strong net asset growth and positive working capital, indicating a sound short-term liquidity position. However, as a micro-entity with only one employee and limited fixed assets, its operational scale is minimal. Approval is recommended with conditions requiring ongoing monitoring of cash flow and operational scale expansion. The company’s ability to service debt appears adequate at this stage but is dependent on maintaining or growing current assets and managing liabilities effectively.

2. Financial Strength:
   The balance sheet shows a marked improvement from £11,075 net assets in 2023 to £36,609 in 2024, primarily driven by an increase in current assets from £16,316 to £44,838. Fixed assets remain nominal at £1,105, reflecting minimal investment in long-term assets. Current liabilities increased slightly but remain well covered by current assets, resulting in a strong net current asset position (£35,504). Shareholders’ funds mirror net assets, confirming no significant off-balance sheet liabilities. Overall, the financial position is healthy for a micro-entity, with a solid equity base relative to liabilities.

3. Cash Flow Assessment:
   The company’s liquidity as evidenced by net current assets is strong, with a current ratio well above 1 (current assets to current liabilities ratio approx. 4.8). This suggests good short-term cash availability to meet obligations. However, absence of detailed cash flow statements limits insight into operational cash generation and reliance on external funding or shareholder loans. The company employs only one person, which may constrain operational capacity but also keeps overheads low. Continuous monitoring of working capital management is advisable to ensure sustained liquidity.

4. Monitoring Points:

• Track the company’s revenue growth and cash flow generation to confirm operational sustainability beyond initial capital base.
• Monitor any increase in current liabilities or fixed asset investments to assess changes in capital structure and funding needs.
• Review director and shareholder changes, especially given recent director appointment and resignation within a short period.
• Observe filing timeliness and compliance with Companies House requirements to mitigate regulatory risk.
• Assess market environment impact on the niche sectors covered (public order and safety, management consultancy, information services).