Company Number: 13246236

Analysis Date: 2025-07-20 18:56 UTC

1. Credit Opinion: DECLINE
   Fortune Rosa Limited shows persistent negative net assets and reliance on long-term creditors exceeding fixed assets, indicating financial stress and potential insolvency risk. The company operates in real estate letting with a micro-entity size but carries current liabilities exceeding its net current assets, signaling liquidity pressure. The absence of significant equity, minimal share capital, and limited profitability data raise concerns on its ability to service new or existing debt without external financial support.

2. Financial Strength:
   The balance sheet reveals fixed assets of £262,000 consistently over three years, funded primarily by creditors falling due after more than one year (£290,000+), resulting in negative net assets (£41,498 in 2024). Current liabilities slightly exceed current assets, causing negative net working capital. Shareholders’ funds remain negative, reflecting accumulated losses or debt financing exceeding equity. This capital structure weakens financial resilience and restricts borrowing capacity.

3. Cash Flow Assessment:
   Net current liabilities of approximately £13,000 suggest tight short-term liquidity, which may challenge meeting immediate obligations. With only one employee and no disclosed profits or cash inflows, operating cash flows appear limited or insufficient to reduce creditor balances. The company’s ability to generate positive cash flow from operations is unclear, increasing dependence on creditor financing or owner injections.

4. Monitoring Points:

• Trend in net current assets/liabilities to gauge short-term liquidity improvements.
• Changes in creditors due after one year to assess long-term debt sustainability.
• Profitability or cash flow generation from operations and rental income trends.
• Director’s financial support or external funding arrangements.
• Timely filing of accounts and returns to monitor compliance and financial updates.