Company Number: 13558820

Analysis Date: 2025-07-29 19:16 UTC

1. Credit Opinion:
   APPROVE with conditions. Clonard Consulting Ltd shows a positive net current asset position and improving shareholders' funds over the last three years, indicating growing financial stability. The company’s small scale and lack of employees suggest limited operational complexity but also a potentially constrained revenue base. The absence of an income statement limits full profitability assessment, so credit should be extended cautiously with monitoring on cash flow and debtor collections.

2. Financial Strength:
   The balance sheet shows steady improvement from a negative net current asset position (£-2,383) in 2021 to a positive £4,455 in 2024. Shareholders' funds have similarly increased from a deficit of £-2,385 to £4,455, reflecting retained earnings accumulation and capital stability. Current liabilities have decreased from £19,550 in 2021 to £5,695 in 2024, reducing short-term financial pressure. The company is classified as a small entity with minimal fixed assets and no long-term debt reported, suggesting limited leverage risk.

3. Cash Flow Assessment:
   Cash balances improved from £1,102 in 2023 to £3,348 in 2024, indicating better liquidity management. Debtors have declined year-on-year (£8,879 to £6,802), which may reflect improved collections or lower sales volume. Current liabilities also decreased, improving net working capital. However, the relatively low cash balance compared to creditors means liquidity remains tight, so working capital management is critical to ensure ongoing debt servicing capability.

4. Monitoring Points:

• Timely collection of debtors to maintain or improve cash liquidity.
• Continued control of current liabilities to avoid short-term funding strain.
• Profitability trends once income statements become available to confirm sustainable earnings.
• Any changes in director or shareholder structure that may affect control or financial strategy.
• Monitor filing compliance and any changes in credit terms or operational scale.