CENTARA SERVICES LIMITED

Executive Summary

Centara Services Limited demonstrates a strong and improving financial position with solid liquidity and growing equity, appropriate for a micro-entity in the IT consultancy sector. The company's current financial health supports approval for credit facilities, though ongoing monitoring of working capital management is recommended to sustain creditworthiness. No red flags or overdue compliance issues are present, providing confidence in management's stewardship.

CENTARA SERVICES LIMITED - Analysis Report

Company Number: 14167165

Analysis Date: 2025-07-29 17:15 UTC

1. Credit Opinion: APPROVE
   Centara Services Limited exhibits a solid financial position for its size and age, with improving net current assets and shareholders' funds over the last two years. The company operates in the IT consultancy space, which generally supports stable cash inflows. No overdue filings or indications of financial distress are present, supporting confidence in its ability to meet credit obligations. The absence of audit requirements due to micro-entity status is noted but does not materially detract from the creditworthiness given the consistent positive equity and working capital.

2. Financial Strength:
   The company's balance sheet shows growth from £67K to £119K in total net assets over the last year, driven by increased current assets (+57%) and moderate increase in fixed assets. The rise in current liabilities is proportionate, maintaining a healthy net current asset position of £115K (2024) versus £65K (2023). Shareholders’ funds fully support the asset base, reflecting retained earnings or capital injections. The micro-entity size limits complexity and risk; the company has maintained positive equity since incorporation.

3. Cash Flow Assessment:
   Current assets primarily consist of cash, debtors, or equivalents sufficient to cover current liabilities almost 2.2 times, indicating strong liquidity. The net current asset position significantly improved, suggesting adequate working capital to fund operations and short-term commitments. No indications of liquidity strain or reliance on external short-term borrowings are evident from the data provided.

4. Monitoring Points:

• Maintain close monitoring of current liabilities to ensure they do not grow disproportionately to current assets.
• Watch for any changes in payment patterns or cash conversion cycles given the consultancy nature of business.
• Review future filings for any emerging audit requirements or changes in accounting policies.
• Keep track of director and management stability; currently, no adverse information noted.