CRONTECH LTD

Executive Summary

CRONTECH LTD shows a sound financial position with positive net assets and compliance with filing requirements. However, the marked reduction in current assets warrants closer examination of liquidity management. Overall, the company appears stable but small scale and governance concentration suggest monitoring operational risks closely.

CRONTECH LTD - Analysis Report

Company Number: 12792317

Analysis Date: 2025-07-20 15:27 UTC

1. Risk Rating: LOW
   CRONTECH LTD demonstrates a stable financial position with net assets increasing slightly year on year, positive net current assets, and no overdue filings. The company operates within the micro-entity threshold and maintains compliance with Companies House filing requirements.

2. Key Concerns:

• Declining Current Assets: Current assets have decreased significantly from £115,231 in 2023 to £79,412 in 2024, which could indicate reduced liquidity or collection issues.
• Concentration Risk: The company has only one director who is also the sole signatory on accounts, potentially limiting governance oversight.
• Limited Scale: As a micro-entity with only 2 employees and modest fixed assets, the company may be vulnerable to operational disruptions or external shocks.

3. Positive Indicators:

• Positive Working Capital: Net current assets remain positive at £28,285, indicating the company can meet short-term obligations.
• Growing Fixed Assets: Fixed assets have more than tripled from £20,334 in 2023 to £66,413 in 2024, suggesting investment in operational capacity.
• Timely Compliance: Both accounts and confirmation statement are up to date with no overdue filings, reflecting good regulatory adherence.

4. Due Diligence Notes:

• Review cash flow statements or bank reconciliations to understand the cause of the current asset decline and assess cash management practices.
• Confirm the nature and valuation of fixed assets added in the latest financial year and their contribution to revenue generation.
• Investigate any related party transactions or director loans given the limited personnel and sole director setup.
• Evaluate the business model’s resilience given the micro scale and specialized construction SIC code (43999).