Company Number: 13788330

Analysis Date: 2025-07-20 16:50 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Calder Windmill Limited is a micro-entity active since late 2021, primarily engaged in real estate trading and holiday accommodation. The company has shown improvement in net assets from a negative £311 in 2023 to a positive £4,804 in 2024, indicating initial progress toward financial stability. However, the balance sheet reveals significant long-term liabilities (£135,550) closely matching fixed assets (£135,000), and current liabilities exceed current assets in prior years, though net current assets improved to £5,354 in 2024. The company’s ability to service debt is marginal, dependent on improved cash flows and asset realizations. The directors include an accountant, which supports competent financial oversight, but the absence of employees and limited turnover data restricts visibility on operational resilience. Credit approval is recommended with conditions including close monitoring of cash flow, debt servicing capability, and updated financial disclosures.

2. Financial Strength:
   The company’s fixed assets remain steady at £135,000, reflecting property or similar holdings in line with its SIC codes (real estate and holiday accommodation). Net assets turned positive in 2024, supported by a modest net current asset position (£5,354), but total liabilities remain high, especially long-term creditors (£135,550) almost equaling fixed assets. This indicates a leveraged position with limited equity buffer (£4,804). The micro-entity status limits the granularity of financial data, but the balance sheet suggests tight leverage and a fragile equity position. The absence of employees and minimal current assets (£6,446) suggest limited operational scale.

3. Cash Flow Assessment:
   Current assets increased significantly from £739 to £6,446 in 2024, improving liquidity, and net current assets moved from £739 to £5,354, showing better short-term funding coverage. However, current liabilities decreased only slightly to £1,092, maintaining a cautious liquidity outlook. The company’s ability to generate positive operating cash flow is uncertain given no employees and limited turnover information. The presence of long-term creditors equal to fixed assets indicates likely financing through debt, creating repayment obligations. Cash flow management will be critical to meet interest and principal repayments on this debt.

4. Monitoring Points:

• Quarterly updates on cash flow statements and working capital changes.
• Timely filing and review of next accounts and confirmation statements to detect any deterioration.
• Monitoring any changes to long-term liabilities or refinancing arrangements.
• Watch for any director changes or PSC structure modifications that may affect control or financial strategy.
• Industry risks related to real estate market fluctuations and seasonal impacts on holiday accommodation activity.