Company Number: NI669564

Analysis Date: 2025-07-29 13:31 UTC

1. Credit Opinion: DECLINE
   Communicon Ltd is a dormant company with no trading activity and no revenue generation. It has consistently reported net liabilities and negative shareholders’ funds (£-5,935), indicating accumulated losses or unpaid liabilities. The company’s balance sheet shows current assets of only £1,281 against long-term creditors of £6,016 and accruals of £1,200, producing a negative net asset position. The absence of trading history and persistent net liabilities signify an inability to service new debt or credit facilities reliably.

2. Financial Strength:
   The company’s financial statements reveal a weak balance sheet with no fixed assets and limited current assets. The negative net assets position reflects accumulated deficits or funding shortfalls. Long-term liabilities exceed current assets by a significant margin, and there is no equity buffer. The company’s dormant status since incorporation in 2020 means no operational cash flow generation or asset accumulation to support financial obligations.

3. Cash Flow Assessment:
   Liquidity is minimal with current assets of £1,281 mainly in cash or equivalent, but this is insufficient to cover creditors falling due after one year (£6,016) and accruals (£1,200). Working capital is effectively negative when considering all liabilities. There is no evidence of income or cash inflows to improve liquidity or meet debt repayments. The company relies entirely on external funding or shareholder support, which is currently negative.

4. Monitoring Points:

• Review if the company moves from dormant to active trading and assess profitability and cash generation at that point.
• Monitor any changes in long-term liabilities or creditor settlements.
• Watch for capital injections or reduction of accumulated losses to improve shareholder funds.
• Confirm director or shareholder intentions regarding future business activity or dissolution.