HYPERSALE LIMITED

Executive Summary

Hypersale Limited is a micro-sized enterprise with limited financial resources and negative working capital, reflecting liquidity pressure. Despite showing some growth in net assets, its very small scale and weak cash flow position warrant cautious credit exposure with strict monitoring. Conditional approval is recommended with emphasis on liquidity management and timely financial performance updates.

HYPERSALE LIMITED - Analysis Report

Company Number: 13308666

Analysis Date: 2025-07-29 15:05 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Hypersale Limited is a micro private limited company with limited financial resources and a negative working capital position, indicating liquidity constraints. However, it shows modest growth in net assets from £1,086 to £2,097 over the last two years, suggesting some capital strengthening. Given its small scale, limited fixed assets (£2,500), and negative net current assets (-£403), credit should be extended cautiously and potentially with limits that reflect its cash flow capacity. Credit approval is recommended subject to close monitoring of liquidity and timely repayment capability.

2. Financial Strength:
   The balance sheet indicates a very small operational footprint with fixed assets at £2,500 and current assets of only £347 as of April 2024. Current liabilities stand at £750, leading to net current liabilities of -£403, which points to reliance on short-term financing or delayed payments to suppliers. Shareholders’ funds have improved to £2,097, almost doubling from the prior year. The company is classified as a micro entity with minimal equity base and negligible capital investment. Its financial strength remains weak but stable for its size.

3. Cash Flow Assessment:
   The company’s negative net current assets position and low current asset base (mainly cash/debtors) raise concerns about liquidity and working capital management. With only one employee and minimal operational scale, cash inflows may be limited. The small size suggests limited buffer to absorb shocks or delays in receivables. Monitoring of cash conversion cycle and payment patterns is essential to avoid liquidity shortfalls.

4. Monitoring Points:

• Liquidity trends: Net current assets and cash balances, especially around year-end
• Timeliness of creditor payments and any overdue liabilities
• Revenue growth and profitability trends to support improved working capital
• Any material changes in fixed assets or capital expenditure
• Director’s conduct and related party transactions given single director and sole significant controller
• Compliance with filing deadlines and any signs of financial distress