EXODOXA LIMITED

Executive Summary

Exodoxa Limited is a newly established micro-entity showing a sharp decline in net assets and working capital over the latest year, signaling weak financial health and limited liquidity. Credit approval should be conditional on close monitoring of cash flow and operational performance, with a cautious approach due to minimal equity and high current liabilities. The company’s future creditworthiness depends heavily on its ability to stabilize and grow its cash position.

EXODOXA LIMITED - Analysis Report

Company Number: 14564105

Analysis Date: 2025-07-29 18:15 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Exodoxa Limited is a very young micro-entity with minimal financial history but currently shows a marginal net asset position (£1) and very limited fixed assets. The latest year shows a drastic reduction in net current assets from £2,235 to £148 and net assets from £2,182 to £1, indicating a significant decline in financial strength over the last year. The company has no audit requirement but only one employee (the director), suggesting limited operational scale. Given the current thin equity base and volatile working capital, credit should be extended cautiously with stringent monitoring and possibly secured or guaranteed facilities. The company’s ability to service debt depends heavily on the director’s ongoing commitment and cash flow from operations which is not detailed here.

2. Financial Strength:
   The balance sheet reflects micro-entity status with total net assets of just £1 as of the latest accounts. Fixed assets are negligible (£156), and current assets have more than halved from £14,026 to £7,605 year-on-year. Current liabilities remain high and close to current assets, resulting in very low net current assets (£148). The company’s equity has been almost entirely eroded, which signals potential financial stress or investment in operations without immediate returns. The company is solvent but very weak from a capital perspective, with limited buffer for adverse events.

3. Cash Flow Assessment:
   The limited data shows a sharp decline in current assets and net working capital, suggesting cash outflows or reduced cash inflows during the latest period. The current liabilities remain substantial, almost equaling current assets, which constrains liquidity. With only one employee (the director) and no audit, detailed cash flow statements are unavailable, but the working capital position implies tight liquidity. The company must demonstrate positive operational cash flow soon to improve its liquidity and meet short-term obligations comfortably.

4. Monitoring Points:

• Monitor quarterly management accounts focusing on cash flow and profitability trends.
• Watch current liabilities vs. current assets closely, especially trade creditors and any short-term borrowings.
• Track any changes in director or ownership that may impact stability.
• Review any new contracts or revenue streams that could improve cash flow.
• Ensure timely filing of accounts and confirmation statements to avoid compliance risks.
• Assess any external financing arrangements or guarantees that may support credit risk.