EXEMPLAR AUDITING AND CONSULTING LTD

Executive Summary

Exemplar Auditing and Consulting Ltd has shown consistent financial improvement and maintains strong liquidity with cash balances well above current liabilities. The company’s balance sheet strength and positive working capital position indicate good capacity to meet credit commitments. Continued monitoring of cash flow and operational growth is recommended to ensure sustained financial health.

EXEMPLAR AUDITING AND CONSULTING LTD - Analysis Report

Company Number: 12892975

Analysis Date: 2025-07-29 18:27 UTC

1. Credit Opinion: APPROVE
   Exemplar Auditing and Consulting Ltd demonstrates solid financial improvement over recent years, with positive net current assets and shareholders’ funds increasing significantly to £26,369 as of September 2024. The company maintains a healthy liquidity position with cash balances more than sufficient to cover current liabilities, indicating strong short-term debt servicing capacity. There is no indication of overdue filings or director disqualifications, and the firm operates under a sound accounting framework. Given the company’s growth trajectory and stable financial position, it appears capable of meeting its credit obligations.

2. Financial Strength:
   The company’s balance sheet shows strengthening equity from a negative position at inception (£-807) to a positive shareholders’ fund of £26,369 in 2024. Net current assets have risen from £1,050 in 2020 to £26,369 in 2024, reflecting improved working capital management and operational profitability. Current liabilities remain low and stable, increasing only slightly from £1,856 in 2020 to £5,722 in 2024, which is manageable relative to cash reserves. The absence of fixed assets or long-term liabilities suggests a low leverage profile but also limited asset backing.

3. Cash Flow Assessment:
   Cash on hand more than doubled from £15,448 in 2023 to £32,091 in 2024, providing a comfortable liquidity buffer to cover short-term obligations of £5,722. The consistent increase in net current assets supports that working capital is sufficient to support ongoing operations. The company’s cash position relative to current liabilities indicates strong liquidity and low risk of cash flow distress in the near term.

4. Monitoring Points:

• Continue monitoring cash flow trends relative to current liabilities to ensure liquidity remains robust.
• Watch for any material changes in creditors, especially taxation and social security liabilities that might increase unexpectedly.
• Review future filings for evidence of revenue growth and profitability to confirm the ongoing improvement in equity.
• Monitor any changes in director appointments or PSC disclosures for governance risks.
• As the company is young and has no employees, assessing future scaling plans and associated costs will be important to gauge financial resilience.