CRAIGIE JOINERY & CARPENTRY LIMITED

Executive Summary

Craigie Joinery & Carpentry Limited is a solvent, small private company with positive net assets and improved cash balances, indicating reasonable liquidity. However, rising lease liabilities and a decline in net equity warrant closer scrutiny of cash flow sustainability and operational resilience. Compliance and governance appear satisfactory with no overdue filings or director concerns.

CRAIGIE JOINERY & CARPENTRY LIMITED - Analysis Report

Company Number: SC671345

Analysis Date: 2025-07-20 16:38 UTC

1. Risk Rating: MEDIUM
   Craigie Joinery & Carpentry Limited shows sound solvency with positive net assets and net current assets, but increased long-term finance lease obligations and declining net assets over the last year elevate the risk moderately.

2. Key Concerns:

• The company’s net assets decreased from £43,169 in 2023 to £37,760 in 2024, indicating some erosion of equity.
• Significant increase in finance lease liabilities both short-term (£12,377) and long-term (£16,246), which may pressure future cash flows.
• The business operates with only one employee (the director), which could raise sustainability and operational continuity issues.

3. Positive Indicators:

• Maintains positive net current assets (£24,207) and overall net assets, demonstrating solvency and ability to meet short-term liabilities.
• Cash balance improved substantially to £53,110 as of August 2024, supporting liquidity.
• No overdue filings or compliance issues; accounts and confirmation statement are up to date.
• Director and sole significant controller is consistent, with no disqualifications or governance concerns noted.

4. Due Diligence Notes:

• Investigate the nature and repayment terms of the finance lease obligations, and whether these commitments are manageable with current cash generation.
• Review profitability and cash flow statements (not available here) to assess operational performance and sustainability, especially given the single employee structure.
• Confirm if any contingent liabilities, related party transactions, or off-balance sheet risks exist.
• Clarify reasons behind the reduction in net assets and whether this trend is expected to continue.