D BROCK ENGINEERING LTD

Executive Summary

D BROCK ENGINEERING LTD is a micro-entity with improving financial strength, marked by a strong increase in net assets and positive working capital. The company’s liquidity and capital structure are sound, supporting an ability to meet short-term obligations. Given its early stage and single director control, monitoring operational cash flow and governance is recommended for ongoing credit assessment.

D BROCK ENGINEERING LTD - Analysis Report

Company Number: 14119850

Analysis Date: 2025-07-20 17:36 UTC

1. Credit Opinion: APPROVE
   D BROCK ENGINEERING LTD demonstrates a positive trajectory with significant improvement in net assets and working capital over the latest financial year. The company has a strong equity base for its size and no overdue filings, indicating sound governance. Given the micro-entity scale and limited employee count (1), credit exposure should be modest, but the financial data supports the ability to service short-term obligations.

2. Financial Strength:
   The balance sheet shows growth in net assets from £3,445 in 2023 to £21,226 in 2024, driven primarily by an increase in current assets (+225%) and improved net current assets (£15,393 vs. £4,888 previously). Fixed assets decreased slightly but remain minimal, consistent with a service-oriented micro business. The company is entirely equity-financed with no reported long-term liabilities, indicating low financial risk and a solid capital structure.

3. Cash Flow Assessment:
   Current assets substantially exceed current liabilities, suggesting good liquidity and a comfortable working capital position. The increase in current assets, likely cash or receivables, supports operational cash flow sufficiency. With only one employee, overhead costs should be low, improving cash flow stability. No indication of overdraft reliance or short-term funding pressures is evident.

4. Monitoring Points:

• Continued growth in net assets and current assets to sustain liquidity
• Profitability and cash generation consistency as the company matures beyond initial years
• Director concentration risk: single director and controlling shareholder with full voting rights
• Any changes in industry conditions affecting “other service activities not elsewhere classified” (SIC 96090)