Company Number: 13136700

Analysis Date: 2025-07-29 20:59 UTC

1. Credit Opinion: CONDITIONAL APPROVAL GB Consulting Services Limited demonstrates a stable financial position with positive net assets and manageable current liabilities. However, the company's declining current assets and shareholders’ funds over the past three years indicate some erosion in financial resources, warranting cautious monitoring. Given the micro-entity status and limited financial disclosures, extending credit is feasible but should be conditional on regular performance reviews and adherence to agreed repayment terms.

2. Financial Strength: The company’s balance sheet shows a solid equity base (£40,295 as of 31 January 2025), though this has declined from £68,075 in the previous year and from £121,384 four years ago. Fixed assets are minimal (£1,394), typical for a consultancy business. Current liabilities (£6,014) are modest relative to current assets (£46,302), producing positive net current assets and indicating short-term solvency. The reduction in current assets from £75,618 to £46,302 suggests a reduction in liquidity or receivables, which should be further investigated.

3. Cash Flow Assessment: Current assets exceed current liabilities by a comfortable margin, suggesting the company can meet short-term obligations. However, the decrease in current assets and shareholders’ funds year-on-year points to potential cash flow constraints. The increase in average employees from 1 to 2 signals some operational growth but also increased overheads. Absence of detailed cash flow statements limits comprehensive liquidity analysis, so monitoring bank account activity and receivables turnover is recommended.

4. Monitoring Points:

• Continued tracking of current asset levels and working capital trends to ensure liquidity remains sufficient.
• Examination of receivables aging and cash conversion cycle to identify potential collection issues.
• Monitoring profitability and reserves development to assess if the company can rebuild equity.
• Review of director conduct and company filings to confirm compliance and governance standards.
• Watch for any sudden increases in liabilities or delayed filings that could indicate financial stress.