D L MILES CONSULTING LIMITED

Executive Summary

D L MILES CONSULTING LIMITED exhibits a weak financial position with persistent negative equity and limited liquidity, raising substantial credit risk concerns. The company’s inability to generate positive net assets or maintain adequate working capital suggests it cannot reliably service debt obligations. Credit approval is therefore declined, but ongoing monitoring of financial improvement and management actions is recommended should the situation evolve.

D L MILES CONSULTING LIMITED - Analysis Report

Company Number: 13131153

Analysis Date: 2025-07-20 13:22 UTC

1. Credit Opinion: DECLINE
   D L MILES CONSULTING LIMITED presents a weak credit profile. The company has been trading since 2021 but shows escalating net liabilities, with shareholders’ funds deteriorating from -£13,311 in 2023 to -£19,431 in 2024. The large negative equity and continuing losses raise significant concerns about the company’s ability to meet debt obligations. Additionally, current liabilities far exceed current assets, indicating poor liquidity and a working capital deficit. No employees are reported, suggesting minimal operational scale and limited capacity to generate sufficient cash inflow. The absence of fixed assets also implies limited collateral value. Given these factors, the company’s financial resilience is poor, and it lacks demonstrated financial stewardship sufficient to assure lending risk.

2. Financial Strength:
   The balance sheet shows zero fixed assets and minimal current assets (£1,275 in 2024). Current liabilities are not explicitly stated in the 2024 accounts but are indicated as £20,706 in creditors falling due after more than one year, which appears to be long-term liabilities. However, the company reports net liabilities of £19,431, indicating total liabilities exceed total assets. Negative shareholders’ funds reflect accumulated losses and capital erosion. The financial trajectory is negative, with net assets declining year over year, signaling worsening solvency. The company's micro-entity status limits disclosure, but the available data point to weak financial standing.

3. Cash Flow Assessment:
   Current assets are minimal and likely consist mostly of receivables or cash equivalents, but no cash flow statement is provided. The company’s net current assets are positive but very small (£1,275), which may be insufficient to cover short-term obligations. The lack of employees and fixed assets suggests limited operational activity and cash generation capacity. The significant long-term liabilities without accompanying assets further strain liquidity. There is no indication of positive operating cash flows or external financing to support working capital requirements. Overall, liquidity risk is high, and cash flow sufficiency to service debt is doubtful.

4. Monitoring Points:

• Watch for improvement in net assets and shareholders’ funds to assess turnaround efforts.
• Monitor changes in current assets and liabilities to evaluate liquidity trends.
• Review any new debt or equity injections that could strengthen the balance sheet.
• Track management’s strategic plans and operational performance updates.
• Verify timely filing of future accounts and confirmation statements to ensure compliance and transparency.