Company Number: SC668240

Analysis Date: 2025-07-20 18:48 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   DATARUSH LTD is an active private limited company operating in the advertising agency sector. While the company maintains a positive net asset position (£15,609 as of July 2024), there is a significant deterioration in liquidity from the prior year, with net current liabilities of £14,202 compared to net current assets of £32,934 in 2023. This sudden decline in working capital raises some concerns about the company's short-term payment capability. Given the limited scale (Micro entity with only 2 employees) and a short trading history since incorporation in 2020, credit approval should be conditional on close monitoring of cash flow and receivables collections.

2. Financial Strength:
   The company’s balance sheet shows fixed assets of £29,811 and total net assets of £15,609 at the latest year-end, down sharply from £55,231 the prior year. The share capital is nominal (£2), typical of micro entities. The decline in net assets and working capital suggests recent operational or financial stress. However, the absence of overdue filings and consistent director ownership and control indicate stable governance. The company remains solvent but with reduced cushion against financial shocks.

3. Cash Flow Assessment:
   A key weakness is the negative net current assets position (£-14,202), implying current liabilities exceed current assets. This suggests potential liquidity strain in meeting short-term obligations. The drop in current assets from £36,921 to £14,291 likely reflects reduced cash or receivables. Without supplementary cash flow information, the risk to liquidity management is elevated. The company employs only 2 staff, which limits fixed overheads but also restricts operational scale.

4. Monitoring Points:

• Monthly cash flow forecasts and bank balances to ensure liquidity
• Debtor aging analysis to manage receivables collections
• Changes in current liabilities, especially short-term borrowings or trade creditors
• Profitability trends in future accounts to assess recovery or further deterioration
• Compliance with filing deadlines to avoid regulatory risk
• Any changes in director control or new financing arrangements