EPC PROJECT SERVICES LTD

Executive Summary

EPC Project Services Ltd demonstrates a strong liquidity position and growing net assets despite its recent incorporation. The company appears well-managed with no immediate credit concerns, supported by a healthy working capital surplus and prudent financial stewardship. Approval is recommended with routine monitoring due to limited operating history.

EPC PROJECT SERVICES LTD - Analysis Report

Company Number: 14673549

Analysis Date: 2025-07-20 18:58 UTC

1. Credit Opinion: APPROVE (with low risk).
   EPC Project Services Ltd is a newly incorporated micro-entity with a very solid balance sheet relative to its size and age. The company shows strong net current assets and positive net equity, indicating an ability to meet short-term liabilities. The directors have maintained consistent financial growth in working capital and shareholder funds since incorporation. No adverse filings or overdue accounts are present, and the directors appear stable and experienced. However, as a start-up with limited operating history, continuous monitoring is recommended.

2. Financial Strength:
   The company’s fixed assets are minimal (£1,055 as of 2025), which is typical for a consulting firm. Current assets have grown substantially from £41,458 in 2024 to £75,289 in 2025, outpacing current liabilities which increased moderately from £29,062 to £54,407. This results in net current assets (working capital) of £20,882, a strong liquidity buffer for a micro-entity. Net assets and shareholders’ funds have increased by over 50% year-on-year, reflecting capital retention and potential profitability. The balance sheet shows no debt or long-term liabilities, indicating conservative financial management.

3. Cash Flow Assessment:
   Current assets mainly represent cash or receivables, sufficient to cover current liabilities by nearly 38% margin (£20,882 net current assets). This suggests good short-term liquidity and ability to meet immediate obligations. The company employs only 2 staff, limiting fixed overheads and preserving cash flow. Although detailed cash flow statements are not provided, the growing working capital and absence of overdrafts or loans imply manageable operating cash flow. There is no indication of liquidity stress or reliance on external finance.

4. Monitoring Points:

• Monitor receivables aging to ensure current assets remain collectible and liquid.
• Watch for any substantial increases in current liabilities or trade creditors that could strain working capital.
• Review next year’s turnover and profitability once filed to confirm sustainable earnings growth.
• Ensure timely filing of accounts and confirmation statements to avoid compliance risk.
• Observe any changes in director composition or PSC structure that may affect governance.