HAMBLEDON INSIGHTS LTD

Executive Summary

Hambledon Insights Ltd is a start-up consultancy with a short trading history and weak financial position, including negative net assets and working capital deficits. Current liquidity is supplemented mainly by director loans, and the company lacks profitability or cash flow to support credit. At this stage, credit facilities should be declined unless secured or guaranteed, with close monitoring of cash flow and financial performance recommended going forward.

HAMBLEDON INSIGHTS LTD - Analysis Report

Company Number: 15020963

Analysis Date: 2025-07-20 11:53 UTC

1. Credit Opinion: DECLINE
   Hambledon Insights Ltd is a newly incorporated private limited company with a short trading history (less than one year). The latest financials show net current liabilities of £(2,216) and negative shareholders' funds of £(776), indicating an undercapitalised position. Current liabilities exceed current assets, primarily driven by directors' loans (£6,993), which is a common feature in start-ups but raises concerns about reliance on director funding rather than operating cash flow. The company is loss-making as indicated by negative retained earnings and has no significant fixed assets or working capital cushions. Given the absence of profitability, limited financial track record, and working capital deficiency, the company currently lacks sufficient financial strength to support credit facilities without additional security or guarantees.

2. Financial Strength
   The balance sheet shows total assets of £7,741 (£1,440 fixed assets + £6,301 current assets) against current liabilities of £8,517, resulting in negative net assets. The company’s tangible fixed assets are minimal and depreciate rapidly. The negative shareholders’ funds reflect accumulated losses since inception. The company's capital base is very weak with only £1 share capital issued. The financial structure relies heavily on director funding rather than external finance or retained earnings, which limits financial resilience.

3. Cash Flow Assessment
   Cash at bank of £4,101 and trade debtors of £2,200 provide some liquidity, but this is insufficient to cover current liabilities of £8,517. The company shows a net current liability position and negative working capital, indicating a liquidity strain. Reliance on directors' current accounts (£6,993) to meet liabilities suggests internal financing rather than sustainable operational cash generation. There is no historical profit or cash flow data demonstrating the ability to service external debt or suppliers.

4. Monitoring Points

• Monitor monthly cash flow closely to ensure obligations can be met as the company scales operations.
• Watch for improvement in working capital and reduction in reliance on director loans.
• Track profitability and cash generation from operations in subsequent accounts to assess business viability.
• Confirm timely filing of accounts and confirmation statements, as ongoing compliance is critical for credit monitoring.
• Assess any new funding rounds or capital injections that could strengthen the balance sheet.