Company Number: 12840086

Analysis Date: 2025-07-20 17:18 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   CHARTUS.X LTD is a micro-entity with limited financial scale but shows a stable balance sheet with positive net assets over the last several years. The company has maintained net current assets and shareholders' funds without deterioration, indicating reasonable short-term liquidity. However, the absolute values are very low, reflecting a very small operation with minimal financial buffer. The increase in average employees from 1 to 3 suggests modest business expansion but also higher fixed costs. Given the limited financial data and low asset base, credit exposure should be small and closely monitored. Approval is conditional on maintaining current liquidity levels and no significant increase in credit risk.

2. Financial Strength
   The company’s balance sheet indicates very low total assets and net assets (£376 as of 2024) with net current assets of £576, reflecting a minimal but positive working capital position. Provisions for liabilities of £200 reduce net assets from the gross asset value. Shareholders' funds have decreased from £475 in 2023 to £376 in 2024, showing a slight decline in equity, possibly due to operating losses or distributions. The micro-entity status limits disclosure but confirms no long-term fixed assets or significant liabilities. Overall, the financial position is fragile but currently solvent.

3. Cash Flow Assessment
   Current assets stand at £660 with current liabilities of £275, resulting in a positive net current asset (working capital) position of £576. The company appears to have sufficient short-term liquidity to cover immediate obligations. However, the low cash and asset base restrict financial flexibility. The increase in prepayments and accrued income from £15 to £191 may indicate some cash flow timing differences. No detailed cash flow statement is provided, but the net current asset position and absence of overdue filings suggest manageable cash operations for now.

4. Monitoring Points

• Watch net asset trends and equity movements for further declines that could threaten solvency.
• Monitor current liabilities carefully to ensure they do not increase disproportionately to current assets.
• Track employee count and associated overheads as rising fixed costs may pressure liquidity.
• Review any future credit or loan facilities for their impact on working capital and debt servicing capability.
• Ensure timely filing and compliance to avoid regulatory risks.