Company Number: 14828447

Analysis Date: 2025-07-20 16:38 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Harmer Visuals Limited is a newly incorporated micro-entity (less than one year trading) with minimal financial history. The company shows a positive net asset position and working capital, indicating initial financial stability. However, given the limited trading history and lack of profit and loss data, approval is conditional upon monitoring future trading performance and cash flow generation to assess ongoing debt servicing capability.

2. Financial Strength:

• Net assets stand at £13,023, comprised primarily of fixed assets (£8,204) and net current assets (£4,819).
• Current assets (£14,683) exceed current liabilities (£9,864), providing a positive working capital buffer.
• Share capital is minimal (£100), typical for micro-entities, with equity representing accumulated reserves as per micro-entity accounting standards.
• No long-term liabilities are reported, reducing financial risk.
  Overall, the balance sheet is sound but reflects the early stage of the company with limited capitalisation and trading history.

3. Cash Flow Assessment:

• Positive net current assets suggest basic liquidity to meet short-term obligations.
• Absence of detailed profit and loss data and cash flow statements limits deeper analysis.
• The company employs only one person (likely the director), indicating limited overhead costs, which may support cash flow flexibility.
• Given the video production activities, cash flow may be project dependent and seasonal; therefore, ongoing monitoring of receivables and payables cycles is advisable.

4. Monitoring Points:

• Future trading results and profitability to confirm sustainable cash generation.
• Timely filing of accounts and confirmation statements to ensure compliance and transparency.
• Changes in working capital components, especially debtor and creditor days.
• Any increase in debt levels or liabilities that could pressure liquidity.
• Director’s continued active involvement and any changes in management or ownership structure.