Company Number: 13020243

Analysis Date: 2025-07-20 16:17 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Constance Cunningham Limited demonstrates improving financial health with positive net assets and working capital growth, supported by a sole director with full share control. However, the company remains in the micro category with limited financial scale and shows a significant increase in current liabilities in the latest period, primarily tax and social security obligations. Approval is recommended conditional on monitoring timely payment of creditors and continued cash flow stability given the relatively high short-term liabilities.

2. Financial Strength:
   The company’s net assets increased from £30,447 (2022) to £57,502 (2023), reflecting retained earnings growth and a stable equity base. Tangible fixed assets are minimal (£611). The rise in current liabilities from £22,919 to £114,580 is notable, driven mainly by taxation and social security liabilities (£66,527), which presents some risk if not managed carefully. The company has no long-term debt, which reduces solvency risk but the short-term obligations require close management.

3. Cash Flow Assessment:
   Cash reserves increased substantially from £53,366 to £163,483, providing strong liquidity to cover current liabilities of £114,580. Net current assets improved to £57,035, indicating positive working capital. Debtors are low (£8,132), which is beneficial for cash flow. Overall, liquidity appears adequate, but the large tax creditor suggests a concentrated payment due that should be prioritized in cash flow planning.

4. Monitoring Points:

• Management of tax and social security creditor balances to avoid payment defaults or penalties.
• Cash flow trends in coming periods to ensure continued coverage of working capital needs.
• Any changes in business scale or credit exposure given the micro company status and limited asset base.
• Director’s continued involvement and financial stewardship given sole control and responsibility.