COMPLETE SERVICE GROUP LIMITED

Executive Summary

Complete Service Group Limited is a newly formed cleaning services company with substantial negative net assets and severe working capital deficits driven by director loans. The absence of trading revenue and reliance on related-party funding present significant credit risk. Until the company can demonstrate operational cash flow generation and improved balance sheet health, extending credit is not advisable.

COMPLETE SERVICE GROUP LIMITED - Analysis Report

Company Number: 15702340

Analysis Date: 2025-07-19 12:24 UTC

1. Credit Opinion:
   DECLINE. Complete Service Group Limited is a newly incorporated entity (May 2024) with its first financial year ending May 2025. The company shows a significant net liability position (£28,916) and negative working capital. The large director loan (£24,496) forms the major part of current liabilities, indicating reliance on related-party funding rather than external creditworthiness. The absence of trading profits or cash generation raises concerns about the company’s ability to service any external debt or credit facilities. The company’s negative net assets and current liabilities exceeding current assets by a wide margin indicate weak financial resilience. Without a credible plan to generate positive cash flows and reduce liabilities, the credit risk is high.

2. Financial Strength:
   The balance sheet reveals net liabilities of £28,916 as at 31 May 2025. Current assets are minimal (£1,627), mostly debtors (VAT receivable) and a small cash balance (£204). Current liabilities are dominated by a director loan (£24,496) plus trade creditors and other short-term payables. No fixed assets are reported. Shareholders’ funds are negative, reflecting accumulated losses or initial capital deficiency. This weak financial foundation suggests poor capitalization and no buffer against adverse events.

3. Cash Flow Assessment:
   Cash at bank is only £204, with net current liabilities close to £29k, indicating a liquidity shortfall. Debtors are solely VAT receivables, which are recoverable but not indicative of operating cash inflows. The company has no reported turnover or operational income in the first year, implying no internal cash generation. Reliance on director loans to fund operations is a risk factor if the director’s ability or willingness to continue funding changes. Working capital is severely negative, and the company currently lacks the capacity to meet short-term obligations without additional funding.

4. Monitoring Points:

• Improvement in net current assets: Monitor if the company can convert losses into profits and accumulate positive working capital.
• Reduction of director loans and trade creditors: Watch for repayment or restructuring of related-party and supplier debts.
• Cash flow generation from operations: Look for evidence of sales, client payment inflows, and improved liquidity.
• Timely filing of future accounts and confirmation statements to track ongoing compliance and financial performance.
• Credit exposure to the director and dependency on his financial support.