Company Number: 14175546

Analysis Date: 2025-07-20 13:12 UTC

1. Credit Opinion: APPROVE
   CJ Facades Ltd demonstrates a solid financial position with significant growth in net assets and working capital over the last two years since incorporation. The company shows no overdue filings and is active with experienced directors holding significant control. Current liabilities are well covered by current assets and cash reserves. There is no indication of financial distress or adverse director conduct. The company operates in construction of commercial buildings, a sector with stable demand. The credit risk is low to moderate, supporting approval for credit facilities.

2. Financial Strength:

• Net assets increased from £81,396 (2023) to £157,252 (2024), indicating strong equity growth.
• Fixed assets (motor vehicles) increased to £43,255, supporting operational capacity.
• Shareholders funds fully cover liabilities, with no long-term debt reported for 2024 (previous year had £25k other creditors after one year but none this year).
• The company maintains a low share capital (£4), but accumulated profits (P&L reserves) are substantial (£157k), reflecting retained earnings and reinvestment.

3. Cash Flow Assessment:

• Current assets (£178k) comfortably exceed current liabilities (£64k), yielding a healthy net current asset position of £114k.
• Cash at bank decreased slightly to £70.6k from £79.7k but remains strong relative to liabilities.
• Debtors increased significantly to £107.6k, which could reflect increased sales or delayed collections; monitoring receivables turnover is advised.
• Directors’ advances are minimal and near zero, indicating no material related party debts.

4. Monitoring Points:

• Debtor balances have grown substantially; watch for any delays in collections that could impact liquidity.
• Maintain oversight on cash flow management to ensure liquidity remains robust as the company scales.
• Keep track of dividend payments (£125k in 2024), ensuring they do not impair working capital.
• Monitor ongoing sector conditions in commercial construction for any downturns affecting contract execution and payment cycles.