BNX UTILITIES LTD

Executive Summary

BNX Utilities Ltd is a micro-sized private limited company with improving financial position but limited scale and operating history. It currently has positive net assets and working capital, suggesting short-term liquidity is adequate. Credit approval is recommended with low limits and ongoing monitoring due to the company’s small size and limited financial track record.

BNX UTILITIES LTD - Analysis Report

Company Number: 13681828

Analysis Date: 2025-07-29 20:24 UTC

1. Credit Opinion: APPROVE with conditions
   BNX Utilities Ltd is a very small (micro entity) private limited company operating in the distribution of electricity sector. The company shows a positive net asset position and has improved its net current assets significantly in the latest financial year. However, the absolute scale of operations is minimal with very limited current assets and working capital. The single director/owner appears to have sound control and financial stewardship. Approval is recommended with a low credit limit and regular monitoring due to the small size and limited financial history.

2. Financial Strength:
   The company’s net assets increased markedly from £23 in 2023 to £6,765 in 2024, driven mainly by an increase in current assets (£5,987 to £19,289) and a controlled increase in current liabilities (£4,579 to £12,314). The balance sheet remains very modest but shows positive equity and no long-term liabilities reported. The micro category filing and exemption from audit reflect the small scale. The improved net current assets (working capital) position is a positive indicator, though absolute amounts remain low.

3. Cash Flow Assessment:
   Net current assets of £6,975 indicate a modest but positive short-term liquidity buffer. Current assets mainly comprise cash or equivalents, with creditors due within one year at £12,314. The company’s ability to pay near-term obligations appears adequate, but the limited scale means any unforeseen cash outflows could pose risks. The accruals and deferred income are low (£210), suggesting limited future liabilities not yet accounted for. The company’s single-employee status also implies low overheads.

4. Monitoring Points:

• Track cash flow closely given small absolute liquidity amounts.
• Watch for any increase in current liabilities that could strain working capital.
• Monitor timely filing of accounts and confirmation statements to avoid compliance risk.
• Review any changes in ownership or director appointments that could affect control and governance.
• Observe revenue and profitability trends over next 1-2 years as data matures beyond initial micro filings.