Company Number: 12562339

Analysis Date: 2025-07-19 12:25 UTC

Credit Opinion:
CONDITIONAL APPROVAL. CRE8TIVE RESOURCES CIC is a relatively new community interest company operating in educational support services. The company shows modest net assets and positive net current assets, indicating some capacity to meet short-term obligations. However, the financial information is limited to the first accounting period ending April 2021, with no recent financials available. The directors’ remuneration is noted but profit and loss details are not filed, limiting insight into profitability and cash generation. Therefore, credit approval should be conditional on receipt of up-to-date financial information and monitoring of ongoing trading performance.

Financial Strength:

• Total net assets stand at £10,339, all equity funded, reflecting a small but positive capital base.
• Fixed assets are low at £7,817, mostly office equipment, indicating limited long-term investment.
• Current assets exceed current liabilities by £2,522, showing positive but modest working capital.
• Creditors include a significant tax and social security liability (£7,065), which may indicate tight cash flow management.
• The company is classified as micro/small in scale based on turnover and asset size, consistent with its exemption filing status.

Cash Flow Assessment:

• Cash holdings are £11,019 at year-end, a reasonable cash buffer for a small company.
• Debtors are minimal (£1,158), suggesting limited receivable risk but also small turnover.
• Current liabilities total £9,655, dominated by tax and social security, which may pressure liquidity if not managed carefully.
• No detailed profit & loss or cash flow statement was filed, so cash flow trends and operational cash generation cannot be fully assessed.
• The company employs 2 staff, so payroll obligations are low relative to cash reserves.

Monitoring Points:

• Obtain and review subsequent annual accounts for 2022 and 2023 to assess financial progression and profitability.
• Monitor tax and social security payments to ensure no build-up of arrears.
• Review cash flow statements once available to confirm ongoing liquidity and debt servicing capacity.
• Watch for changes in director remuneration relative to earnings to avoid cash strain.
• Confirm ongoing contract stability and sales growth in the educational support sector, especially as Covid-related demand evolves.
• Track any changes in company status or director appointments that might signal governance issues.