BROOKLYNAVE LTD

Executive Summary

Brooklynave Ltd is an active micro-entity with minimal financial resources and no significant liabilities, operating in real estate. Its financial position is very modest, with limited cash flow and equity, indicating a weak capacity to service credit. Due to its small scale, short trading history, and minimal financial depth, the recommendation is to decline credit until stronger financials and operational stability emerge.

BROOKLYNAVE LTD - Analysis Report

Company Number: NI685834

Analysis Date: 2025-07-29 12:03 UTC

1. Credit Opinion: DECLINE
   Brooklynave Ltd is a recently established micro-entity with minimal financial activity and limited assets. The company’s balance sheet shows very low net assets (£1,290) and extremely limited working capital. The absence of liabilities is positive but reflects a lack of operational scale rather than strength. The company operates in real estate leasing and trading but reports no significant income or cash flow. Given its micro status, minimal equity, and lack of financial depth, the ability to service debt or absorb financial stress appears very limited. The company’s short trading history and single director control further increase risk. Without stronger financials or a track record of stable income, extending credit is not advisable at this stage.

2. Financial Strength:
   Brooklynave Ltd’s balance sheet is very modest. Current assets stand at £1,290 with no current liabilities, resulting in net current assets of £1,290. The net assets equal shareholders’ funds, indicating no external debt. The previous year showed a significant current liability (£225,199) almost equal to current assets, but this liability was cleared by the latest reporting period. The company’s share capital is only £100. Overall, the company maintains a positive net asset position but on a very small scale consistent with a micro-entity. The lack of fixed assets or reserves reveals limited financial resilience.

3. Cash Flow Assessment:
   The accounts reveal no explicit cash flow statement, but given the minimal current assets and absence of liabilities, liquidity appears very limited. The company likely maintains a small cash balance or receivables at best. The working capital is positive but nominal. The company has only one employee (the director) and likely low overhead costs. However, the absence of significant current liabilities suggests no short-term debt burden. The minimal scale means cash flow volatility risk is high, and the company may struggle to meet unexpected outflows or credit repayments.

4. Monitoring Points:

• Watch subsequent account filings for revenue generation and profitability trends.
• Monitor net current assets and liquidity metrics to ensure positive working capital is maintained.
• Track any new liabilities or debt facilities to assess leverage and repayment capacity.
• Review director conduct and any changes in ownership or control that might affect governance.
• Keep an eye on payment behavior if credit is extended, given the minimal financial buffer.