COMMUNITY INFRASTRUCTURE PARTNERSHIP CIC

Executive Summary

Community Infrastructure Partnership CIC shows a weak financial position with negative equity and working capital deficits, raising concerns about liquidity and debt servicing capability. The company’s lack of assets, minimal income streams, and reliance on partner grants or funding limit its creditworthiness. Given these factors, credit facilities are not recommended without significant financial improvement or external guarantees.

COMMUNITY INFRASTRUCTURE PARTNERSHIP CIC - Analysis Report

Company Number: 13111473

Analysis Date: 2025-07-20 11:23 UTC

1. Credit Opinion: DECLINE
   Community Infrastructure Partnership CIC exhibits poor financial health with negative net current assets and net liabilities as of the latest accounts. The entity’s current liabilities exceed current assets by £1,553, indicating potential liquidity issues. The lack of fixed assets and reliance on cash balances with no debtors suggest limited operational scale and revenue inflow. Furthermore, no employees are recorded, and there is no indication of revenue growth or profitability. The company’s primary activity as a community interest company focused on voluntary sector support entails limited commercial revenue generation, increasing credit risk. Overall, the company does not demonstrate sufficient financial strength or cash flow to support credit facilities or borrowing.

2. Financial Strength:
   The balance sheet reveals a fragile financial position with total net liabilities of £1,553 at 31 March 2024, deteriorated from a minor negative equity position the prior year. Current liabilities of £7,349 surpass current assets of £5,796, resulting in a working capital deficit. There are no fixed assets, and no evidence of significant retained earnings or reserves. The company’s equity is negative, highlighting accumulated losses or funding structure issues. The financial trajectory appears weak, with declining net assets and no visible growth in assets or capital base.

3. Cash Flow Assessment:
   Cash on hand stood at £5,796, slightly down from previous periods, while current liabilities increased, indicating tightening liquidity. Absence of trade debtors suggests minimal ongoing income streams or sales on credit. No employees imply low operating expenses, but also likely limited revenue-generating activity. The negative net working capital and liquidity position raise concerns about the company’s ability to meet short-term obligations without external funding or guarantees.

4. Monitoring Points:

• Monitor cash balances and cash flow trends monthly to detect liquidity stress early.
• Track any changes in current liabilities to assess whether creditor pressures are increasing.
• Watch for filing of full profit and loss accounts to better understand revenue and expense patterns.
• Review any changes in governance or partnership arrangements that might impact financial support or funding.
• Assess any new contracts or funding agreements that could improve cash inflows and financial stability.