Company Number: 12804334

Analysis Date: 2025-07-20 12:31 UTC

1. Risk Rating: MEDIUM
   Cleartec Limited shows a moderate risk profile primarily due to a significant reduction in net assets and cash reserves in the latest financial year, despite being an active private limited company with no overdue filings. The company’s ability to meet short-term obligations remains intact but has weakened compared to previous years.

2. Key Concerns:

• Declining Liquidity: Cash at bank dropped sharply from £186,600 (2023) to £33,740 (2024), which could indicate cash flow stress or increased operational outflows.
• Reduced Net Assets: Net assets decreased substantially from £74,369 in 2023 to £29,591 in 2024, potentially signaling losses or asset disposals impacting financial strength.
• High Short-Term Creditors: Current liabilities remain material at £39,888, and although lower than the previous year, the ratio of current assets to current liabilities has deteriorated, requiring monitoring of working capital management.

3. Positive Indicators:

• No Filing Delinquencies: Both accounts and confirmation statement filings are up to date, demonstrating regulatory compliance and governance discipline.
• Ownership and Control Stability: The majority shareholder and director, Mr. Russell Mark Amos, holds 75-100% control and remains active, indicating consistent leadership.
• Small Employee Base: With an average of two employees, operational overhead may be limited, potentially aiding cost control.

4. Due Diligence Notes:

• Investigate the cause of the large decrease in cash and net assets between 2023 and 2024, including possible asset disposals or operating losses.
• Review trade creditor aging and payment terms to assess liquidity pressure and supplier relationships.
• Confirm the nature and timing of any outstanding liabilities, especially those related to hire purchase contracts which were fully repaid in 2024 after being significant in 2023.
• Evaluate turnover trends and profitability, as turnover figures were not disclosed in the filings.
• Assess dependency on key contracts or customers given the company’s SIC code (combined office administrative services) and small scale.