Company Number: SC761807

Analysis Date: 2025-07-20 16:36 UTC

1. Credit Opinion: DECLINE
   DCLEAN LTD is a newly incorporated micro-entity with a negative net worth (£-1,677 shareholders funds) and no current assets to cover its current liabilities (£6,652). The absence of current assets indicates a lack of liquidity, raising concerns about its ability to meet short-term obligations. Given the limited operating history (just over one year), negative equity, and working capital deficiency, the company is not currently in a position to service debt or secure credit without substantial mitigation measures or additional collateral.

2. Financial Strength:
   The balance sheet reveals minimal fixed assets (£5,625) and no current assets, while current liabilities stand at £6,652, resulting in negative net current assets and shareholders’ funds. This reflects a weak financial structure with insufficient capital buffer. The company’s micro-entity status and small size (2 employees) limit its financial flexibility. The negative equity position suggests accumulated losses or initial funding shortfall, undermining balance sheet robustness.

3. Cash Flow Assessment:
   The total absence of current assets implies the company holds no cash or receivables, which is critical for daily operations and creditor payments. Coupled with current liabilities exceeding available assets, the working capital situation is negative, indicating potential cash flow stress. Without cash reserves or short-term assets, the company’s liquidity position is weak, posing a high risk for timely repayment of obligations.

4. Monitoring Points:

• Track progression of current assets and reduction of current liabilities to improve working capital.
• Monitor profitability and accumulation of reserves to move shareholders’ funds into positive territory.
• Observe cash flow statements in subsequent filings for signs of improving liquidity.
• Keep watch on any director capital injections or external financing to strengthen the balance sheet.
• Review timely filing of accounts and confirmation statements to ensure regulatory compliance.