Company Number: 14124960

Analysis Date: 2025-07-20 15:00 UTC

1. Credit Opinion: DECLINE – EXISTANCE APPAREL LTD is a newly incorporated company (2022) classified as dormant for its latest financial year (2023-24). The absence of trading activity, zero reported assets and liabilities, and no revenue generation indicate no current ability to service debt or meet financial obligations. Without operating cash flows or assets, the company lacks financial substance and creditworthiness at this stage. There is no evidence of business activity or growth trajectory to support extending credit.

2. Financial Strength: The balance sheet shows a decline from modest net current assets of £5,000 in 2022 to nil in 2024 due to dormancy. There are no fixed assets or working capital reported in the latest accounts. Shareholders’ funds have fallen from £5,000 to zero, reflecting no retained earnings or capital infusion. This weak financial position provides no buffer against economic stress or downturns.

3. Cash Flow Assessment: Current assets and current liabilities both stand at zero, indicating no operational cash or working capital. With average employee count of 1 and no trading activity, the company generates no internal cash flow. Absence of cash or liquid assets means the company cannot meet short-term obligations or support growth without external funding.

4. Monitoring Points:

• Monitor for resumption of trading and filing of full accounts showing positive assets, revenues, or cash flows.
• Watch for changes in director appointments or PSCs that may indicate restructuring or changes in business strategy.
• Review future confirmation statement filings for timely compliance.
• Assess any material changes in financial position or business activity before reconsidering credit.