Company Number: 15113359

Analysis Date: 2025-07-20 11:45 UTC

1. Credit Opinion: APPROVE with conditions. FTW Consulting Limited is a newly incorporated private limited company (incorporated September 2023) engaged in management consultancy (SIC 70229). The company is active and has filed timely accounts and returns with no overdue filings. The balance sheet as at 30 September 2024 shows a modest but positive net asset position (£23,544) with net current assets of £21,166 supported entirely by cash (£61,049). Current liabilities stand at £39,883, largely comprising taxation and social security obligations (£28,271). The company is early stage with no employees besides the director and no turnover or profit figures disclosed, which limits assessment of ongoing earnings capacity. Given the strong liquidity and equity buffer, credit approval is reasonable for modest lending but conditional on demonstration of trading revenues and positive cash flow from operations in the near term to support repayment.

2. Financial Strength: The company’s financial position shows a conservative structure with fixed assets of £2,378 (mainly computer equipment) and current assets consisting solely of cash of £61,049. Current liabilities are £39,883, mainly tax-related, leaving positive net current assets of £21,166 and net assets of £23,544. Shareholders’ funds reflect retained earnings of £23,444, indicating early-stage capital injection and initial operational results. The balance sheet is clean with no long-term debt or contingent liabilities disclosed. The company is small, with no employees other than the director, and meets criteria for small company exemption.

3. Cash Flow Assessment: Cash at bank of £61,049 provides strong immediate liquidity relative to current liabilities of £39,883. However, absence of turnover or profit data restricts assessment of cash generation capacity from operations. The company’s current liabilities include significant tax and social security payments, which will require ongoing cash flow management. Working capital is positive; however, the sustainability of this position depends on the company establishing a stable revenue base and controlling operating costs. Monitoring future cash flow statements will be crucial to confirm ongoing liquidity.

4. Monitoring Points:

• Revenue and profit trends in subsequent accounting periods to assess operational viability.
• Cash flow from operations to ensure ability to meet tax liabilities and other creditor payments.
• Management of taxation and social security obligations to avoid liquidity strain.
• Development of client base and contract pipeline given consultancy sector risk.
• Director and shareholder commitment and possible additional capital injections if required.