Company Number: 13128265

Analysis Date: 2025-07-20 11:25 UTC

1. Credit Opinion: DECLINE. Brett-Sillifant Ltd exhibits a deteriorating financial position with net liabilities reported at £1,678 as of January 2024, down from net assets of £664 the year before. The company’s ability to meet short-term obligations is weak, evidenced by negative net current assets (£-1,289) and rising current liabilities. This suggests insufficient liquidity and potential cash flow stress. Given the micro-entity size, minimal capital base (£1 share capital), and negative equity, the risk of default on credit facilities is elevated. Without evidence of improved cash generation or capital injection, extending credit is not advisable at this stage.

2. Financial Strength: The balance sheet shows a clear decline in financial strength over the last year. Current assets plummeted from £1,809 to £77 while current liabilities increased from £895 to £1,366, leading to a working capital deficit. The company’s net assets went from positive £664 to negative £1,678, indicating erosion of shareholder funds and accumulated losses. The micro-entity status and small employee base (1 person) limit operational scale and resilience. The absence of fixed assets or significant capital further weakens financial stability.

3. Cash Flow Assessment: Liquidity is poor with minimal current assets (largely cash or receivables) insufficient to cover short-term liabilities. Negative working capital indicates the company may struggle to pay suppliers or meet immediate expenses without external funding. The increase in creditors and accruals signals potential payment delays or stretched supplier terms. The lack of an audited profit and loss account limits visibility on cash generation, but the balance sheet trend suggests cash outflows exceed inflows recently.

4. Monitoring Points:

• Quarterly monitoring of cash balances and creditor days to detect worsening liquidity.
• Watch for any capital injections or shareholder loans that may improve net assets.
• Monitor filing of next annual accounts for signs of financial recovery or further decline.
• Review management actions on cost control, revenue growth, and cash collection policies.
• Track any director changes or related party transactions that could impact governance or credit risk.