Company Number: 15076281

Analysis Date: 2025-07-20 14:58 UTC

1. Credit Opinion: APPROVE with caution. Delta Power Electrical Ltd is a newly incorporated micro-entity (incorporated August 2023) with its first set of accounts filed for the year ending August 2024. The company shows a positive net current asset position and net assets indicating initial financial stability. However, due to its short operating history and limited financial data, ongoing monitoring is essential. The director appears to have full control and presumably is closely involved in operations, which supports management quality. Given the nature of the electrical installation and repair sector, the business model is straightforward but may be sensitive to economic cycles.

2. Financial Strength: The balance sheet shows current assets of £95,166 against current liabilities of £54,594, resulting in net current assets of £40,572. Total net assets equal £40,572, all attributable to shareholders’ funds. The company employs 2 staff, consistent with a micro business. There are no fixed assets reported, which is typical for a service-oriented electrical installation business at this startup stage. The absence of long-term liabilities and a positive equity base indicate a sound financial footing so far. However, the size of the balance sheet is limited given its micro-entity status and short trading history.

3. Cash Flow Assessment: Current assets largely represent cash and receivables, supporting liquidity. The net working capital of £40,572 suggests the company can cover its short-term liabilities comfortably at present. Without a P&L or cash flow statement, it is not possible to assess profitability or operating cash flow trends yet. The company’s ability to generate positive cash flows going forward will be critical to maintain liquidity and service any credit facilities. Given the sector and size, working capital needs are likely modest but should be reviewed regularly.

4. Monitoring Points:

• Future annual accounts and confirmation statements to confirm continued profitability and growth.
• Cash flow generation and working capital trends as the company scales.
• Any accrual of debt or changes in creditor/debtor balances.
• Director and shareholder changes or any significant related party transactions.
• Economic and sector-specific developments affecting demand for electrical installation and repair services.
• Timely filing of statutory documents to avoid compliance risks.