Company Number: 13338685

Analysis Date: 2025-07-20 17:35 UTC

1. Credit Opinion: DECLINE
   Chopstix Cardiff Limited shows consistent operating losses and negative net assets over multiple years. The company’s inability to generate profits and persistent negative working capital indicates weak financial resilience. Given the losses and net liability position, the company does not demonstrate capacity to service additional debt or honor extended credit without further support or capital injection.

2. Financial Strength:
   The balance sheet reveals net liabilities of £2,104 as at April 2024, worsening slightly from £1,474 the prior year. Fixed assets stand at a modest £9,435, primarily tangible, while current liabilities exceed current assets by £11,539. The company is reliant on a significant debtor balance (£54,000) due after more than one year, which impairs liquidity. Shareholders’ funds are negative, indicating an erosion of equity capital.

3. Cash Flow Assessment:
   Current liabilities exceed current assets, leading to a negative working capital position. Debtors dominate current assets but are not fully collectible within one year, constraining cash flow availability. Operating losses, though small (£630 in 53 weeks), persist without signs of profitability. The lack of cash reserves and ongoing losses suggest limited internal cash generation capacity. There is no indication of external financing or capital injections to cover shortfalls.

4. Monitoring Points:

• Improvement in net current assets and working capital position.
• Reduction of overdue or long-term receivables to enhance liquidity.
• Movement towards positive operating profit and net asset position.
• Any capital injection or restructuring plans by directors to restore solvency.
• Continued compliance with filing deadlines and transparency in financial reporting.