ESSKESH LIMITED

Executive Summary

ESSKESH LIMITED is an early-stage micro-entity with no revenue and minimal financial resources, resulting in weak credit capacity. The company’s balance sheet shows declining net assets and very limited liquidity, undermining its ability to meet debt obligations. Without evidence of imminent trading activity or capital support, credit approval is not recommended at this time.

ESSKESH LIMITED - Analysis Report

Company Number: 13453621

Analysis Date: 2025-07-20 17:28 UTC

1. Credit Opinion: DECLINE
   ESSKESH LIMITED shows no trading activity with zero turnover for the last three years and minimal current assets (£3,066) relative to its inception in 2021. The company operates in management consultancy but has not generated revenue, which raises concerns about its ability to service any credit facility. The negative profits, albeit small losses, and absence of liabilities suggest limited operational activity rather than financial distress. However, without revenue or cash inflows, the capacity to repay debts or meet commercial obligations is weak. The company’s micro-entity status and lack of fixed assets further constrain its financial strength. Consequently, credit approval is not advisable without a clear business plan demonstrating imminent revenue generation and cash flow.

2. Financial Strength:
   The balance sheet reveals a very modest capital base with net assets of £3,069 as at 30 June 2024, down from £6,974 at incorporation. There are no fixed assets, indicating no investment in long-term resources. Current assets consist mainly of cash or equivalents, with no current liabilities reported, resulting in positive net current assets. Shareholders’ funds equal net assets, reflecting no external debt. The declining net asset trend over three years signals erosion of capital, likely from operational losses and no income generation. Overall, the financial strength is minimal, appropriate for a dormant or start-up entity but insufficient for supporting borrowing without external guarantees.

3. Cash Flow Assessment:
   The micro-entity’s cash position is low (£3,066) and has decreased from prior years despite no liabilities, indicating cash burn to cover minimal expenses (£842 in other charges in 2024). The absence of turnover means no operating cash inflow. With only one employee and negligible operational activity, working capital appears adequate for current scale but inadequate for any expansion or debt servicing. There are no creditors to extend short-term financing, and no accruals or provisions suggest minimal commitments. Liquidity is fragile and highly dependent on shareholder funding or capital injections.

4. Monitoring Points:

• Revenue generation: Monitor for commencement of trading and consistent turnover to improve creditworthiness.
• Cash reserves: Track cash balances and burn rate to assess sustainability without external funding.
• Profitability trends: Watch for movement towards break-even or profit to indicate operational viability.
• Shareholder support: Evaluate ongoing financial backing from controlling shareholders to sustain operations.
• Filing compliance: Maintain timely accounts and confirmation statements to avoid regulatory risks.