FONTEGO LTD

Executive Summary

Fontego Ltd shows a strong and improving financial position for a micro-entity with growing net assets and solid liquidity. The company appears capable of servicing debt and maintaining operational stability in its niche. Continued monitoring of profitability and sector risks is advised to confirm ongoing creditworthiness.

FONTEGO LTD - Analysis Report

Company Number: 13101430

Analysis Date: 2025-07-29 20:10 UTC

1. Credit Opinion: APPROVE
   Fontego Ltd demonstrates a solid balance sheet with growing net assets and low liabilities, indicating a strong financial position for a micro-entity. The company’s net assets increased significantly from £13,221 in 2022 to £37,196 in 2023, reflecting asset growth and improved working capital. There is no indication of overdue filings or director misconduct. Although the company is small, it appears capable of meeting credit obligations based on available data.

2. Financial Strength:
   The balance sheet shows steady growth in fixed assets from £9,224 in 2020 to £20,957 in 2023, alongside a substantial increase in current assets in 2023 (£15,774) compared to prior years (~£1,241). Current liabilities are minimal (£1,112) relative to current assets, resulting in strong positive net current assets of £16,239 in 2023. Shareholders’ funds have nearly tripled over one year, indicating retained earnings or capital injections strengthening equity.

3. Cash Flow Assessment:
   Liquidity appears robust with current assets significantly exceeding current liabilities, providing comfortable working capital to cover short-term obligations. The increase in prepayments and accrued income (£1,577) suggests ongoing business activity and anticipated revenues. The company employs only one person, indicating low fixed costs, which may support cash flow stability.

4. Monitoring Points:

• Track future filings to ensure continued compliance with Companies House deadlines.
• Monitor profitability and cash flow from operations as detailed P&L data is not provided here.
• Watch for any changes in liabilities or sudden increases in short-term debt that could impact liquidity.
• Evaluate market conditions in the public houses and bars sector, which can be sensitive to economic cycles.