CJA HAULAGE SOLUTIONS LIMITED

Executive Summary

CJA Haulage Solutions Limited shows a stable financial position with increasing net assets, positive liquidity, and sound compliance. The company benefits from a growing asset base supporting its freight and waste disposal operations. Key areas for further inquiry include goodwill valuation, creditor obligations, and profitability trends to ensure ongoing operational and financial sustainability.

CJA HAULAGE SOLUTIONS LIMITED - Analysis Report

Company Number: 12604638

Analysis Date: 2025-07-29 14:47 UTC

1. Risk Rating: LOW
   The company demonstrates solid net asset growth, positive working capital, and timely compliance with filing obligations. Its financial position indicates it is currently solvent and liquid.

2. Key Concerns:

• Goodwill Amortisation: The company holds significant goodwill (£85,000) subject to amortisation, which could indicate potential impairment risks if not supported by future cash flows.
• Long-Term Creditors: Outstanding creditors due after one year amount to nearly £90,000, which should be monitored relative to cash flow generation.
• Modest Share Capital: The nominal share capital (£100) may limit the company's ability to absorb large financial shocks compared to net assets built through reserves.

3. Positive Indicators:

• Strong Net Asset Position: Net assets have increased from £89,608 in 2020 to £462,421 in 2024, reflecting retained earnings growth and asset accumulation.
• Good Liquidity Metrics: Positive net current assets (£108,609) and a healthy cash balance (£203,870) at the latest year-end suggest sound short-term liquidity.
• On-Time Compliance: No overdue filings for both accounts and confirmation statements indicate good governance and regulatory compliance.
• Asset Base: Tangible fixed assets have increased, including investments in motor vehicles and plant, supporting operational capacity in freight and waste collection.

4. Due Diligence Notes:

• Review the impairment testing and valuation of goodwill to assess whether amortisation accurately reflects the asset’s recoverable amount.
• Examine the nature and terms of long-term creditors to understand repayment obligations and any covenants.
• Understand revenue streams and profitability trends, as income statements are not publicly filed due to abridged accounts exemption.
• Verify directors’ background and absence of any adverse regulatory or disqualification records.
• Confirm operational scale and customer base given the small number of employees (4) and niche industry sectors (freight and waste disposal).