CHECKOUT SOLUTIONS LTD

Executive Summary

Checkout Solutions Ltd is a newly incorporated micro entity with a severely negative net asset position and poor liquidity. The financials indicate inability to meet current liabilities and lack of operational scale, resulting in a high credit risk. Without substantial capital injection or turnaround, the company is not creditworthy at present.

CHECKOUT SOLUTIONS LTD - Analysis Report

Company Number: 14838225

Analysis Date: 2025-07-29 15:51 UTC

1. Credit Opinion: DECLINE
   Checkout Solutions Ltd exhibits significant financial distress as evidenced by a negative net asset position of £69,639 and a large net current liability of £133,650 in its first year of trading. The current liabilities far exceed current assets, indicating severe liquidity constraints and an inability to meet short-term obligations. Given the company's early stage (incorporated May 2023) and negative equity, it lacks financial resilience and has not demonstrated capacity to service debt or sustain operations without outside support.

2. Financial Strength:
   The company’s balance sheet shows fixed assets of £64,011 but minimal current assets (£336), overshadowed by current liabilities of £133,986. This results in net current liabilities of £133,650 and net liabilities overall. Negative shareholders’ funds suggest cumulative losses or initial funding shortfalls. The absence of employees suggests no operational scale yet. Overall, the company is financially weak with an unsustainable capital structure.

3. Cash Flow Assessment:
   Current assets are negligible compared to current liabilities, indicating poor liquidity and an inability to convert assets into cash quickly to cover debts. Working capital is deeply negative, signaling cash flow problems. There is no evidence of cash or other liquid resources to support ongoing operations, raising high risk of payment default in the near term.

4. Monitoring Points:

• Review subsequent accounts and cash flow statements for improvement in liquidity and net assets.
• Monitor any capital injections or debt restructuring to strengthen balance sheet.
• Track operational progress including revenue generation and expense control.
• Observe directors’ management actions and any external funding sources.
• Watch for timely filing of accounts and returns to assess governance and compliance.