Company Number: 13785915

Analysis Date: 2025-07-29 13:13 UTC

Credit Opinion:
APPROVE with monitoring. Gotham Group Ltd demonstrates a solid improvement in financial position in the latest fiscal year ending 31 December 2024. The company shows strong liquidity and increased shareholder equity, indicating capability to service current liabilities and potential credit facilities. However, as it is a relatively young company (incorporated in late 2021) operating in the artistic creation sector, which can be cyclical, ongoing monitoring is advisable.

Financial Strength:
The balance sheet shows significant strengthening from 2023 to 2024. Total assets less current liabilities increased from £16,354 in 2023 to £148,917 in 2024. Shareholders’ funds rose commensurately, indicating retained earnings growth and capital injection or profitability. The company acquired tangible fixed assets (£52,574 net book value) in 2024, suggesting investment in operational capacity. Current liabilities increased to £111,442 but are well covered by current assets of £207,785, resulting in a healthy net current asset position of £96,343.

Cash Flow Assessment:
Cash at bank improved dramatically from £7,131 in 2023 to £174,691 in 2024, a strong liquidity indicator supporting short-term obligations. Debtors remained relatively stable, and trade creditors and tax liabilities increased but appear manageable given the cash balance. The working capital position is strong, reducing liquidity risk. The company’s ability to maintain positive cash flow is supported by this liquidity, though the nature of trade and other creditors, including a sizeable taxation and social security balance, warrants verification of payment terms and timing.

Monitoring Points:

• Continued profitability and cash generation in the artistic creation sector, which can fluctuate with market conditions.
• Management of increased current liabilities, especially taxation and social security obligations, to avoid cash flow strain.
• Impact of fixed asset investments on depreciation and future cash requirements.
• Ongoing compliance with filing deadlines (currently up to date) and absence of any director conduct issues.
• Monitoring of trading performance and debtor collection to maintain liquidity levels.