CCS-GLOBAL LTD

Executive Summary

CCS-GLOBAL LTD is a start-up with a weak financial foundation, showing negative equity and working capital deficits after its first year. The company currently depends on director loans for liquidity and lacks positive cash flow, impairing its ability to service debt or credit facilities. Given these factors, extending credit would be high risk without strong assurances of imminent profitability and capital injection.

CCS-GLOBAL LTD - Analysis Report

Company Number: 14457978

Analysis Date: 2025-07-20 12:06 UTC

1. Credit Opinion: DECLINE. CCS-GLOBAL LTD is a recently incorporated company (Nov 2022) operating in employment placement and management consultancy. Its first-year financials show significant net current liabilities (£3,848) and negative shareholders' funds (-£3,699), indicating a weak capital base. The company relies on director loans (£6,265) for funding, showing limited external financing and no operational profitability yet. The negative net asset position and working capital deficit raise concerns over its ability to meet short-term obligations and service any new credit facilities.

2. Financial Strength: The balance sheet reflects a fragile financial position. Fixed assets are minimal (£249), and current assets are only £3,323 against current liabilities of £7,171. The company is technically insolvent on a net asset basis with negative equity of £3,599. The reliance on director loans indicates that external funding has not been secured, which may limit financial flexibility. As a small private company in its first year, the lack of retained earnings or profit reserves is expected, but the net liability position is a credit risk.

3. Cash Flow Assessment: Cash on hand is low (£2,687), and with current liabilities more than double current assets, liquidity is tight. Negative net current assets indicate potential difficulty in meeting immediate liabilities without additional funding. The company’s dependence on director advances to fund operations suggests cash flow is not yet self-sustaining. Without trading history or positive cash flow, the company may struggle to support debt service or supplier payments.

4. Monitoring Points:

• Improvement in net current assets and shareholders’ funds through profitable trading.
• Reduction in reliance on director loans and increase in external financing or equity.
• Timely settlement of creditors and tax liabilities to avoid operational disruptions.
• Cash flow trends and turnover growth as indicators of business viability.
• Any changes in director control or management strategy that may affect financial stewardship.