CLEVER MONKEY LIMITED

Executive Summary

Clever Monkey Limited is an early-stage micro-entity with no turnover and reported losses, resulting in negative net assets and working capital deficit. The company currently lacks the financial strength and cash flow capacity to service debt or credit facilities. Credit approval is declined at this time, with close monitoring recommended on revenue growth and liquidity improvements.

CLEVER MONKEY LIMITED - Analysis Report

Company Number: 15556816

Analysis Date: 2025-07-29 13:04 UTC

1. Credit Opinion: DECLINE
   Clever Monkey Limited is a newly incorporated micro-entity with no trading revenue (£0 turnover) and an operating loss of £1,274 reported in its first 13-month period. The company’s net current liabilities stand at £1,724, reflecting a negative working capital position, which indicates an inability to meet short-term obligations from current assets. The absence of fixed assets and no staff employed further highlights its very early stage with minimal operational activity. Without evidence of revenue generation or positive cash flow, the company currently lacks the financial capacity to service any credit facilities. The director’s 100% ownership suggests control but no additional financial support or capital injections are evident in the filings. Given these factors, credit approval is not recommended at this stage.

2. Financial Strength:
   The balance sheet shows net liabilities of £1,724 and negative shareholders’ funds of the same amount. Current liabilities (£1,980) exceed current assets (£256), indicating poor liquidity and a weak financial position. No fixed assets are held, and the company has no tangible net worth. Being a micro-entity in its first accounting period, it is typical to see limited financial strength, but the negative equity and working capital deficit are significant weaknesses. There are no long-term liabilities or provisions disclosed.

3. Cash Flow Assessment:
   The company has minimal current assets (£256), likely cash or equivalents, and no debtors or stock recorded, which limits its cash inflow potential. Current liabilities of £1,980 are due within the year, creating pressure on liquidity. The operating loss and absence of turnover imply that cash inflows are insufficient to cover operating expenses and liabilities. There is no indication of external financing or capital infusion beyond initial share capital. Thus, cash flow is inadequate to support ongoing operations or debt servicing.

4. Monitoring Points:

• Turnover and profitability trends in subsequent periods to assess revenue generation capacity.
• Changes in working capital, particularly improvements in current assets relative to current liabilities.
• Cash flow statements to monitor liquidity and operational cash generation.
• Any capital injections or director loans that could improve financial stability.
• Timely filing of future accounts and confirmation statements to ensure compliance and transparency.