Company Number: 14773843

Analysis Date: 2025-07-29 17:00 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Hayley Broadhead Ltd is a newly incorporated micro-entity with limited trading history (just over one year). The company demonstrates positive net assets and a small but positive working capital position, indicating initial financial stability. However, the limited operating history, very modest asset base, and minimal net current assets advise caution. Credit approval should be conditional on continued monitoring of trading performance and cash flow as the company expands its operations.

2. Financial Strength:
   The balance sheet shows total net assets of £5,357 with fixed assets of £6,825 and current assets of £13,044, offset by current liabilities of £12,848. The net current assets (working capital) stand at £196, indicating a very tight short-term liquidity position. The capital structure is entirely equity-funded with no long-term liabilities reported. Overall, the financial strength is modest but not weak given the company’s micro-entity status and short trading history.

3. Cash Flow Assessment:
   Current assets primarily comprise cash or receivables, but they only slightly exceed short-term liabilities, resulting in minimal working capital buffer. This suggests limited liquidity flexibility to absorb unexpected expenses or downturns. As a single-director company with one employee, operating costs are likely low, but cash flow management will be critical going forward to ensure timely settlement of liabilities and avoid liquidity strain.

4. Monitoring Points:

• Track improvements in net current assets and liquidity ratios as the company grows.
• Review turnover and profitability trends to assess capacity to service any credit facilities.
• Monitor payment patterns and any overdue creditor balances.
• Observe any significant changes in shareholding or director appointments that may affect governance or financial control.