Company Number: 12757043

Analysis Date: 2025-07-29 18:51 UTC

1. Credit Opinion: DECLINE
   HEXAGON BUILD LIMITED’s financials reveal significant deterioration in net assets and working capital over recent years. The company moved from a positive net asset position (£15,455 in 2023) to a negative net asset position (-£3,074 in 2024). Its current liabilities remain close to cash levels, indicating weak liquidity. Additionally, no employees were reported in the latest year, suggesting operational scale-back or inactivity. This financial weakness and apparent operational contraction raise material doubt about the company’s ability to meet its debt obligations reliably. Therefore, credit approval is not recommended without substantial improvement and further financial information.

2. Financial Strength:
   The company’s balance sheet shows a declining trend in net assets from £15,455 in 2023 to negative £3,074 in 2024. Current liabilities slightly decreased but remain high relative to cash balances. The company holds minimal share capital (£2) and a negative retained earnings (profit and loss account) balance, indicating accumulated losses. The absence of fixed assets and low cash reserves limits collateral and financial buffer. Overall, the balance sheet is weak with negative equity and limited financial resilience.

3. Cash Flow Assessment:
   Cash at bank increased slightly from £840 in 2023 to £5,190 in 2024, but this is still only marginally above short-term liabilities (£4,805). Net current assets are positive but very low at £385, indicating tight liquidity and working capital constraints. The company’s abrupt reduction in employee count to zero suggests possible operational suspension or very limited activity, which could negatively impact cash inflows. The overall cash flow position appears fragile with minimal headroom to cover unexpected expenses or creditor demands.

4. Monitoring Points:

• Track quarterly cash flow and bank balances to ensure liquidity does not deteriorate further.
• Monitor any changes in current liabilities and creditor payment terms.
• Review operational activity levels and staffing to assess business continuity and revenue generation capacity.
• Watch for any director or owner injections of capital or debt restructuring efforts.
• Examine future filed accounts for reversal of negative equity and restoration of net assets.