GEORGE CLARENCE VENTURES LIMITED

Executive Summary

George Clarence Ventures Limited is a micro-entity with negative net assets and net current liabilities exceeding current assets as of March 2024. The company is in its infancy with no employees or reported trading activity and lacks financial data demonstrating profitability or cash flow. Given this weak financial foundation and absence of operating history, the credit risk is high, and credit facilities are not recommended at this time without significant supporting security or financial guarantees.

GEORGE CLARENCE VENTURES LIMITED - Analysis Report

Company Number: 14573591

Analysis Date: 2025-07-29 18:01 UTC

1. Credit Opinion: DECLINE

The company is newly incorporated (Jan 2023) and operates in building project development. The latest financials as of 31 March 2024 show net current liabilities (£19.8k) and negative shareholders’ funds (£9.78k), indicating a net liability position. With no employees reported and no profit & loss statement provided, there is insufficient evidence of operational cash flow or profitability to support debt servicing. This weak financial position, combined with the micro-entity scale and early stage of the company, presents a high credit risk. Approval is not recommended without substantial additional security or guarantees.

2. Financial Strength:

• Current assets: £1.48m, primarily cash or equivalents likely.
• Current liabilities: £1.5m, slightly exceeding current assets, resulting in net current liabilities of £19.8k.
• Shareholder funds are negative at £9.78k, reflecting net liabilities.
• No fixed assets reported.
• No employees or trading history to demonstrate revenue generation or asset base.
• Micro-entity reporting with limited disclosure; no profit & loss information given.

Overall, the balance sheet is fragile with more short-term liabilities than assets and no equity cushion.

3. Cash Flow Assessment:

• Current liabilities marginally exceed current assets, indicating working capital strain.
• No operating activity or cash flow data disclosed.
• Absence of employees suggests limited operational activity to generate cash.
• Without profit & loss or cash flow statements, liquidity position is unclear but likely constrained given net current liabilities.
• Reliance on external funding or shareholder loans likely necessary to meet obligations.

4. Monitoring Points:

• Quarterly updates on profit & loss and cash flow to understand operational performance.
• Changes in current liabilities and ability to reduce net current liabilities.
• Shareholders’ funds movement towards positive territory.
• Evidence of project contracts, revenue generation, and client payments.
• Director and shareholder capital injections or loan arrangements.