BLOOM BUSINESS COACHING LTD

Executive Summary

Bloom Business Coaching Ltd is a recently established micro-company with a modest but stable financial base, reflected in positive net assets and working capital. While initial financial strength supports credit approval, limited trading history warrants conditional approval with ongoing monitoring of cash flow and profitability. The company’s ability to maintain liquidity and meet longer-term obligations will be critical to sustaining creditworthiness.

BLOOM BUSINESS COACHING LTD - Analysis Report

Company Number: 15086135

Analysis Date: 2025-07-29 15:56 UTC

1. Credit Opinion: APPROVE with conditions
   Bloom Business Coaching Ltd is a newly incorporated micro-entity (since August 2023) showing positive net assets and working capital in its first accounting period. The company’s balance sheet reflects modest fixed assets and a small positive net current asset position, which indicates initial financial stability. However, due to the company’s short operating history and limited financial data, credit approval should be conditional upon ongoing financial monitoring and timely filing of future accounts to confirm sustainable cash flow and profitability.

2. Financial Strength:
   The balance sheet as of 31 August 2024 shows fixed assets of £31,200 and current assets of £16,775. Current liabilities are £13,657, resulting in net current assets of £3,118. There is a significant creditor balance due after one year of £16,288, which reduces total assets less current liabilities to £34,318 and net assets to £18,030. Shareholders’ funds equal net assets, reflecting a fully equity-financed business at this stage. The presence of director advances (£2,400 owed to directors) suggests initial reliance on related party funding. Overall, the financial position is modest but sound for a start-up micro-company.

3. Cash Flow Assessment:
   Current assets exceed current liabilities by £3,118, indicating a positive but narrow working capital position. The company has limited cash resources and a low level of current assets, which may constrain liquidity. The creditor balance due in more than one year (£16,288) points to longer-term obligations that need careful management. Given the micro-entity status and the presence of only one employee, operating expenses and cash burn are likely low. Still, the company should maintain close control over receivables and payables to preserve liquidity.

4. Monitoring Points:

• Future trading results and profitability trends as additional accounts are filed.
• Cash flow generation and ability to meet both short-term and long-term liabilities without increasing director loans.
• Timely submission of statutory accounts and confirmation statements to avoid regulatory risk.
• Any changes in ownership or control, especially given the equal shareholding and control by the two directors.
• Expansion of client base and revenue streams to build financial resilience.