BUSTAJOBS LTD

Executive Summary

Bustajobs Ltd exhibits weak financial health with negative net assets and worsening working capital deficits, signaling potential liquidity and credit risks. The company’s ability to meet short-term obligations is impaired, and without improvement in cash flow or equity position, credit exposure is not recommended. Close monitoring of financial filings and operational metrics is essential for any reconsideration.

BUSTAJOBS LTD - Analysis Report

Company Number: 12581117

Analysis Date: 2025-07-20 12:51 UTC

1. Credit Opinion: DECLINE
   Bustajobs Ltd currently shows a weak financial position with net liabilities of £751 as of April 2024, deteriorating from net assets of £6,238 the prior year. The company has persistent negative working capital, indicating an inability to cover short-term obligations from current assets. This raises concerns about liquidity and operational funding. Given the micro-entity scale and limited financial buffer, the risk of default on credit facilities is elevated. Without evidence of improved cash flow or strengthened equity, extending credit is not advisable at this time.

2. Financial Strength:
   The balance sheet reveals declining fixed assets (£12,383 down from £18,487) and an increase in current liabilities (£16,393 up from £14,709) against only modest current assets (£3,259). The net current liabilities of £13,134 have worsened compared to prior years, reflecting a strained working capital position. Shareholders’ funds are negative (£-751), indicating the company’s liabilities exceed assets, which undermines its financial resilience and limits capacity to absorb losses or secure additional funding.

3. Cash Flow Assessment:
   The company’s current assets, inclusive presumably of cash and receivables, are insufficient to meet current liabilities, resulting in a significant working capital deficit. This suggests tight liquidity and potential pressure to meet operational costs and debt servicing. The lack of a profit and loss account filing limits insight into profitability trends and cash generation. However, the negative net assets and worsening liquidity imply cash flow constraints that could impede debt repayment and supplier payments.

4. Monitoring Points:

• Monitor future filings for any turnaround in net current assets and shareholder equity.
• Track changes in creditors and debtor balances to assess working capital management.
• Review upcoming confirmation statements and accounts filing for timeliness and completeness.
• Pay attention to any director changes or adverse filings that might signal governance issues.