GRAVATTPR LTD

Executive Summary

GravattPR Ltd is an early-stage micro-entity with a modest positive net asset and working capital position, reflecting a small but solvent financial base. Credit exposure should be limited and carefully monitored due to limited trading history and fragile equity. Ongoing review of cash flow generation and operational performance will be critical to support credit decisions going forward.

GRAVATTPR LTD - Analysis Report

Company Number: 15200275

Analysis Date: 2025-07-29 20:19 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   GravattPR Ltd is a newly incorporated micro-entity operating in public relations and communications, with limited financial history. The company shows a positive net current asset position (£371) and positive net assets (£372), indicating minimal but positive working capital and equity. However, given its early stage, small scale, and very limited financial buffer, credit exposure should be cautiously sized and subject to ongoing monitoring. The director’s sole control and lack of extensive trading history increase risk but do not preclude credit if facility sizing is conservative and terms are appropriate.

2. Financial Strength:
   The balance sheet is very modest reflecting a micro-entity classification. Current assets (£3,918) slightly exceed current liabilities (£3,547) resulting in positive net current assets of £371. Shareholders’ funds equal net assets at £372, implying no long-term borrowings or fixed assets. The company has essentially equity capital and working capital just above liabilities, indicating a fragile financial base with very limited asset coverage. Absence of debt is positive for credit risk but the low capital base means limited capacity to absorb shocks.

3. Cash Flow Assessment:
   The micro-entity’s current assets mostly comprise cash or equivalents given the small scale and no mention of significant receivables or stock. The tight working capital position suggests limited liquidity buffer. With only one employee (likely the director), overheads may be low, but cash inflows from operations are unknown and likely minimal at this early stage. The company’s ability to service any debt will depend on future trading cash flow generation and careful working capital management.

4. Monitoring Points:

• Future turnover and profitability trends to assess cash flow adequacy for debt servicing
• Changes in working capital levels, particularly current liabilities increases or asset depletion
• Director’s ongoing involvement and any additional capital injections or shareholder loans
• Timely filing of accounts and confirmation statements to ensure compliance and transparency
• Any changes in control or expansion of operations that could affect risk profile