GRANT WILSON CONSULTANCY LTD

Executive Summary

Grant Wilson Consultancy Ltd demonstrates improving financial position with positive net assets after initial losses, but liquidity remains a concern due to negative working capital and low cash balances. Conditional credit approval is advised with close monitoring of cash flow and debtor management to mitigate short-term repayment risks. The company’s ongoing growth and asset investment are positive indicators of potential creditworthiness with prudent oversight.

GRANT WILSON CONSULTANCY LTD - Analysis Report

Company Number: SC744383

Analysis Date: 2025-07-29 12:20 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Grant Wilson Consultancy Ltd is a relatively new company incorporated in 2022, operating in data processing and related consultancy. The company shows improving balance sheet figures with positive shareholders' funds as of the latest accounts, reversing prior losses. However, the company has consistently reported negative net current assets, indicating liquidity pressure and reliance on longer-term funding or creditor support. Credit approval can be considered but with conditions such as monitoring cash flow carefully, possibly requiring personal guarantees or limits until liquidity stabilizes.

2. Financial Strength:

• The company’s net assets improved from a negative £17,520 in 2023 to a positive £5,502 in 2024, reflecting some retained earnings accumulation and asset growth.
• Tangible fixed assets increased to £61,353, indicating investment in plant and machinery, which supports operational capacity but is less liquid.
• The current liabilities remain high at £90,674 versus current assets of £34,823, yielding a negative working capital position of £-55,851. This is a concern for short-term solvency.
• Shareholders’ equity is positive but modest, reflecting the early stage of the business.

3. Cash Flow Assessment:

• Cash on hand is very low at £1,225, despite an increase in debtors to almost £24,000, suggesting that debtor collection and conversion to cash should be closely monitored.
• Negative net current assets reflect potential cash flow risk in meeting short-term obligations without additional financing or timely collections.
• Absence of an income statement in the filing limits assessment of profitability and operating cash generation, but improving equity suggests some profit or capital injection.

4. Monitoring Points:

• Monitor the debtor days and cash collection efficiency to ensure working capital sufficiency.
• Watch trends in current liabilities to ensure no further increase that could exacerbate liquidity risks.
• Review future filings for profit and cash flow statements to confirm operational sustainability.
• Keep track of directors’ conduct and any changes in ownership or management that may affect financial stewardship.
• Given the company’s age and industry, external economic conditions impacting data processing services should be factored into ongoing risk assessment.