Company Number: 14812495

Analysis Date: 2025-07-29 14:14 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Dynamic Construction Bolton Limited is a newly incorporated micro-entity active in domestic and commercial building construction. The company has modest net assets of £2,199 and a slight net current liability of £525 as of its first financial year ending April 2024. Although the balance sheet is positive in net assets, the negative working capital indicates potential short-term liquidity constraints. Given the company's early stage and limited financial history, approval is conditional upon ongoing monitoring of cash flow management and timely filing of future accounts. The single major shareholder/director controls the company fully, which may support swift decision-making but also concentrates risk.

2. Financial Strength:
   The company holds minimal fixed assets (£2,724) and current assets (£11,552) against current liabilities (£12,077), resulting in net current liabilities of £525. The net asset value of £2,199 is very low, reflecting the micro scale and infancy of the business. There is no indication of external financing or accumulated reserves. The financial structure is fragile, with limited buffer to absorb shocks. The shareholder funds equal net assets, indicating no external equity injections beyond initial capital.

3. Cash Flow Assessment:
   With current liabilities slightly exceeding current assets, the company exhibits a working capital deficit, which could strain liquidity. The absence of detailed cash flow statements limits deeper analysis, but the negative net current assets suggest reliance on timely receivables collection and/or shareholder support for short-term obligations. The micro-entity status and exemption from audit reduce financial transparency, necessitating prudent credit limits and close liquidity monitoring.

4. Monitoring Points:

• Future profitability and cash generation trends as the company matures.
• Timely filing of annual accounts and confirmation statements to ensure regulatory compliance.
• Changes in working capital metrics, particularly net current assets and creditor days.
• Any new external financing or changes in shareholder structure.
• Director conduct and governance, given ownership concentration in Mr Muhammad Ramiz Khan.