Company Number: 15208614

Analysis Date: 2025-07-29 15:05 UTC

1. Credit Opinion: APPROVE

Core Reformer Pilates Limited is a recently incorporated micro-entity operating in the fitness facility sector. The company has filed accounts on time and shows a positive net asset position with a reasonable working capital surplus. There is no indication of financial distress or overdue filings. The directors have relevant industry experience as gym instructors, and the ownership is concentrated with a director who holds significant control, suggesting stable management oversight. Given the company's early stage and micro size, credit facilities should be moderate and closely monitored, but the current financial position supports approval.

2. Financial Strength:

The balance sheet as of 31 March 2025 shows fixed assets of £20,238 and current assets of £54,221, including cash and receivables. Current liabilities stand at £39,361, resulting in net current assets (working capital) of £15,141. Total net assets are £34,179, representing shareholders' funds, indicating the company is adequately capitalized for its size. The absence of long-term liabilities or overdrafts improves financial stability. However, as a micro entity with minimal share capital (£4), the company’s financial buffer is limited but adequate for the current scale of operations.

3. Cash Flow Assessment:

The net current asset position of £15,141 implies positive short-term liquidity to meet obligations due within one year. Current assets exceed current liabilities by a comfortable margin, reducing liquidity risk. The business employs an average of two employees, indicating low fixed overheads. Since the company is early in its lifecycle (incorporated October 2023), cash flow patterns may be volatile, but the present balance sheet suggests the company can service short-term debts and operational expenses without immediate liquidity pressure.

4. Monitoring Points:

• Track revenue and profitability trends as subsequent accounts are filed, to assess sustainability of cash flows.
• Monitor working capital ratios to ensure liquidity remains positive as the company grows.
• Watch for any significant increase in liabilities or overdraft usage that could impair financial flexibility.
• Keep an eye on director changes or PSC shifts, as concentrated control can be a risk if management issues arise.
• Verify timely filing of future accounts and confirmation statements to confirm ongoing compliance.