GRIGOR STIRLING TV LTD

Executive Summary

Grigor Stirling TV Ltd shows a stable but modest financial profile typical of a micro-entity in the television production sector, with positive but declining equity and shrinking liquidity buffers. Credit approval is recommended on a conditional basis, emphasizing close monitoring of cash flow and working capital. The company’s lean operations and solvent balance sheet support modest credit exposure aligned to its scale and financial health.

GRIGOR STIRLING TV LTD - Analysis Report

Company Number: SC680465

Analysis Date: 2025-07-29 20:35 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Grigor Stirling TV Ltd is a micro private limited company active in television programme production. The company maintains positive net assets and shareholders' funds but shows a declining trend in total equity from £9,272 in 2021 to £5,101 in 2024, indicating some erosion of capital. Current liabilities have fluctuated but remain manageable relative to current assets, resulting in positive but reduced net current assets in the latest year. The absence of employees suggests a lean operational model but may limit scalability. Given the small scale and some erosion of financial strength, credit approval should be conditional on monitoring cash flow closely and limiting credit exposure to match the company’s size and financial stability.

2. Financial Strength:
   The balance sheet reflects modest fixed assets (£3,285 in 2024) and current assets of £4,702, against current liabilities of £2,886, yielding positive net current assets of approximately £1,816. Shareholders’ funds have decreased by roughly 45% over the last three years, which could indicate retained losses or distributions exceeding profits. Nonetheless, the company remains solvent with total assets covering liabilities. The low share capital (£2) and micro-entity status suggest limited capital buffer against adverse trading conditions.

3. Cash Flow Assessment:
   Current assets predominantly consist of cash or receivables, but no detailed cash flow statement is available. The reduction in current liabilities from £6,304 in 2020 to £2,886 in 2024 is positive, reducing short-term debt pressure. However, the decline in net current assets from £5,765 in 2021 to around £1,816 in 2024 indicates tightening liquidity. The company’s ability to meet short-term obligations appears adequate but with less cushion than in prior years. Working capital management and timely collection of receivables will be critical.

4. Monitoring Points:

• Track net current assets and liquidity ratios annually to ensure they remain positive and adequate for operational needs.
• Monitor profitability and retained earnings trends to assess capital erosion risk.
• Watch for any increase in current liabilities or delayed payments to suppliers that could signal cash flow stress.
• Review any changes in directors or ownership that might affect business continuity or financial stewardship.