HEWITT PARTNERSHIPS LTD

Executive Summary

Hewitt Partnerships Ltd is a newly established micro-entity with a small but positive net asset position and adequate working capital. The company demonstrates initial financial stability and compliance but remains limited by its scale and short operating history. Credit approval is recommended with modest limits and close monitoring of cash flow and operational progress.

HEWITT PARTNERSHIPS LTD - Analysis Report

Company Number: 14207423

Analysis Date: 2025-07-29 19:01 UTC

1. Credit Opinion: APPROVE with caution. Hewitt Partnerships Ltd is a very young micro-entity (incorporated mid-2022) operating in business and domestic software development. The company shows positive net assets (£7,457) and a modest working capital surplus, indicating initial financial stability. However, limited operating history and very small scale restrict the depth of creditworthiness assessment. The sole director holds full control, which centralizes decision-making but also concentrates risk. Given the absence of any overdue filings or legal issues, the company currently meets basic compliance and governance standards. Credit facilities should be modest and closely monitored due to limited track record and working capital size.

2. Financial Strength: The balance sheet as of 30 June 2024 shows total fixed assets of £686 and current assets of £14,980 against current liabilities of £8,209, resulting in net current assets of £6,771. Total net assets and shareholders’ funds stand at £7,457, up from £100 the prior year, indicating initial capital injection and some asset accumulation. The company’s capital structure is entirely equity funded with no reported long-term liabilities, which reduces financial risk. The asset base is very small, reflecting micro-entity status, and the company employs only one staff member on average. Overall, balance sheet health is sound but limited in scale.

3. Cash Flow Assessment: Current asset composition is not detailed but given the small scale, likely cash and receivables dominate. Working capital is positive at £6,771, providing a reasonable buffer to cover short-term obligations of £8,209. The company has no reported borrowings or overdraft facilities and has extended a small director loan (£1,300) during the year, which remains outstanding. Liquidity appears adequate for current operations, but cash flow resilience is untested given the company’s brief history and micro size. Monitoring of receivables collection and cash conversion cycles will be important.

4. Monitoring Points:

• Track quarterly cash flow statements and debtor aging once available to ensure liquidity remains sufficient.
• Review any future borrowings or capital injections; micro-entity status limits financial flexibility.
• Monitor director advances and their repayment to avoid liquidity strain.
• Watch for timely account and confirmation statement filings to maintain compliance.
• Observe revenue growth and profitability trends to assess business trajectory beyond start-up phase.