CONNERY CONTRACTS LTD

Executive Summary

Connery Contracts Ltd demonstrates improving financial strength with positive net assets and liquidity as of April 2024, supported by up-to-date statutory filings. However, the presence of significant long-term liabilities and limited historical financial data suggest cautious optimism. Further due diligence on creditor terms and operational profitability is recommended to fully assess financial stability and risk exposure.

CONNERY CONTRACTS LTD - Analysis Report

Company Number: NI678810

Analysis Date: 2025-07-20 18:46 UTC

1. Risk Rating: LOW to MEDIUM
   The company shows positive net assets and working capital as of the latest accounts, indicating an ability to meet current liabilities. However, limited historical financial data and the presence of long-term liabilities warrant cautious monitoring.

2. Key Concerns:

• Long-term Creditors: The balance sheet indicates a significant creditor amount falling due after more than one year (£60,164), which could represent loans or other obligations requiring sustained cash flow to service.
• Limited Financial History: The company was incorporated in 2021, and financial data is available only for a few years, limiting trend analysis.
• Low Share Capital: Share capital remains nominal (£2.00), which may limit the company’s buffer against losses or financial shocks.

3. Positive Indicators:

• Strong Net Current Assets: As of 30 April 2024, net current assets stand at £58,131, indicating good short-term liquidity.
• Positive Net Assets and Shareholders’ Funds: Net assets increased significantly to £55,730 in 2024 from just £2 in 2023, showing growth in company value.
• Compliance with Filings: The company is up to date with both accounts and confirmation statement filings, reducing regulatory compliance risk.
• Micro-entity Reporting: The use of micro-entity accounting standards suggests simplified reporting but also indicates manageable company size.

4. Due Diligence Notes:

• Clarify the nature and repayment terms of the long-term creditors (£60,164) to assess future cash flow impact.
• Review recent profit and loss performance (not filed publicly) to understand operational profitability and sustainability.
• Confirm whether the company has any contingent liabilities or off-balance-sheet obligations.
• Assess the background and financial strength of the directors and persons with significant control, given the concentration of control in the Connery family.
• Investigate the operational model and client base under SIC code 43999 to evaluate market position and revenue stability.