DURTMOND SERVICES LIMITED

Executive Summary

Durtmond Services Limited is a micro-entity with a stable but declining net asset position, maintaining positive liquidity and equity. The company’s small scale and single director ownership require careful monitoring of financial trends and sector risks. Conditional credit approval is recommended with periodic financial reviews to ensure continued repayment capacity.

DURTMOND SERVICES LIMITED - Analysis Report

Company Number: 13040533

Analysis Date: 2025-07-29 18:18 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Durtmond Services Limited demonstrates a modest but stable financial position as a micro-entity within the residential care and health services sector. The company shows positive net current assets and net assets across the last five years, indicating a capacity to meet short-term liabilities and maintain equity. However, there is a noticeable decline in current assets and net assets from 2023 to 2024, which warrants monitoring. Given the company's small scale, limited employee base (one employee), and a single director with full ownership control, credit exposure should be cautiously managed with conditions such as regular financial updates and limits appropriate to the company’s size and sector risks.

2. Financial Strength:
   The balance sheet shows net assets of £18,981 as at 30 November 2024, down from £25,365 the prior year. Current assets stood at £23,173 against current liabilities of £4,192, producing positive net working capital of £18,981. The company’s equity has decreased but remains positive and approximately three times its current liabilities, reflecting a sound capital buffer. The share capital is nominal at £100, typical of micro-entities. The company’s asset base is entirely current assets, with no fixed assets reported, which may reflect limited investment in long-term resources and modest operational scale.

3. Cash Flow Assessment:
   Positive net current assets indicate sufficient liquidity to cover short-term debts, with net working capital stable though reduced from previous years. The reduction in current assets from £30,876 to £23,173 suggests some tightening of liquidity which should be reviewed in conjunction with cash flow statements if available. The company’s minimal workforce and micro-entity status imply low operating costs, which supports manageable cash outflows. However, absence of detailed cash flow data means reliance on balance sheet metrics and historical trends for liquidity assessment.

4. Monitoring Points:

• Track quarterly or semi-annual financial performance to detect further reductions in current assets or net assets.
• Monitor timely submission of accounts and confirmation statements to assure compliance and transparency.
• Review any changes in director or ownership structure, given the single director’s full control.
• Assess sector-specific risks such as regulatory changes in health and residential care activities that could impact profitability or cash flow.
• Keep watch on any increase in liabilities or deterioration in working capital ratios.