BRADSHAW ENGINEERING SOLUTIONS LTD

Executive Summary

Bradshaw Engineering Solutions Ltd is a recently established engineering company with positive net assets and compliance in filings, indicating basic solvency and governance. However, declining cash reserves and relatively high current liabilities introduce moderate liquidity risk, compounded by limited operating history. Further investigation into cash flow management and revenue stability is recommended to better understand operational sustainability.

BRADSHAW ENGINEERING SOLUTIONS LTD - Analysis Report

Company Number: 14014499

Analysis Date: 2025-07-29 15:05 UTC

1. Risk Rating: MEDIUM
   Bradshaw Engineering Solutions Ltd shows modest net assets and positive working capital, indicating an ability to meet short-term obligations. However, the decline in cash and net assets over the past year, coupled with relatively high current liabilities, suggests some liquidity pressure. The company’s recent incorporation (2022) and limited trading history add to the risk profile due to uncertainty in operational stability.

2. Key Concerns:

• Liquidity Decline: Cash decreased from £38,577 to £16,714 in the latest financial year, which could impact the company's ability to cover immediate expenses.
• High Current Liabilities: Although net current assets are positive (£8,153), current liabilities remain sizeable at £35,582, which may challenge cash flow if revenue is inconsistent.
• Limited Operating History: Incorporated in 2022, with only two years of financial data, making it difficult to assess long-term sustainability and resilience.

3. Positive Indicators:

• Positive Net Assets and Working Capital: Net assets of £24,425 and positive net current assets indicate solvency and the potential to meet obligations.
• No Overdue Filings: Accounts and confirmation statements are up to date, reflecting compliance with regulatory requirements.
• Stable Shareholder Structure: Directors and significant controllers are consistent, with no reported disqualifications or governance issues.

4. Due Diligence Notes:

• Investigate the reasons behind the cash reduction and assess current cash flow forecasts to evaluate liquidity risk more thoroughly.
• Review contracts and revenue streams to confirm the sustainability of income and whether working capital trends are improving or deteriorating.
• Examine the nature and timing of current liabilities to understand if any are overdue or likely to cause cash flow stress.
• Confirm any off-balance sheet liabilities or contingent risks not visible in the filed accounts.
• Assess management plans for growth and capital investment given the amortisation of goodwill and fixed asset depreciation.