FELMERE CONSULTING LIMITED

Executive Summary

Felmere Consulting Limited is a newly established small professional services company demonstrating initial financial stability with positive net current assets and modest cash reserves. While the company shows prudent financial stewardship at this early stage, the limited operational history and scale necessitate conditional credit approval with close monitoring of cash flow, profitability, and compliance going forward.

FELMERE CONSULTING LIMITED - Analysis Report

Company Number: 14518715

Analysis Date: 2025-07-20 17:09 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Felmere Consulting Limited is a recently incorporated private limited company (Dec 2022) engaged in professional, scientific, and technical activities. The latest filed accounts (April 2024) show modest net current assets and positive shareholders' funds, indicating initial financial stability. However, the company is in its first full year of trading with limited financial history, no employees beyond directors, and relatively small cash reserves (£18,140). Given these factors, credit approval should be conditional, requiring close monitoring of cash flow and profitability as the business develops.

2. Financial Strength
   The balance sheet exhibits total equity of £7,558 and net current assets of £7,558, supported by cash holdings of £18,140 against current liabilities of £10,582. The liabilities are mainly corporation tax and other creditors. The absence of long-term liabilities and shareholder equity in positive territory suggest prudent capital structure. However, the company’s scale is very small and lacks fixed assets or material working capital beyond cash, indicating limited financial depth or asset backing.

3. Cash Flow Assessment
   Cash at bank covers immediate current liabilities comfortably, providing a liquidity buffer. However, the company's cash base is small for operational flexibility, and no detailed cash flow statement is provided. The company’s working capital is positive but narrow, which may constrain day-to-day operations if revenues fluctuate or unexpected expenses arise. The lack of employees and limited operational scale reduce immediate outflow risk, but cash flow should be monitored as business activity grows.

4. Monitoring Points

• Revenue growth and profitability trends in forthcoming accounts to assess business viability and debt servicing capacity.
• Cash flow patterns and working capital adequacy to ensure ongoing liquidity.
• Timely filing of annual accounts and confirmation statements to maintain regulatory compliance and transparency.
• Directors’ management decisions as reflected in financial performance, especially given the company’s early stage.
• Any changes in liabilities or increase in borrowing which might impact credit risk.