Company Number: SC696232

Analysis Date: 2025-07-29 13:24 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Hyperion Tech Limited demonstrates a modest but stable financial position with positive net assets and working capital. The company is very small, with only one employee (the director) and limited tangible assets. The director’s loan balance is significant (£9,950), indicating reliance on shareholder funding rather than external borrowing. The company’s ability to meet short-term obligations appears adequate, but growth and profitability data are limited. Approval is recommended with conditions requiring ongoing monitoring of liquidity, debtor ageing, and director loan balances given the company’s small scale and reliance on internal funding.

2. Financial Strength:
   The balance sheet shows net assets of £14,581 as of April 2024, up from £12,778 the prior year, reflecting modest retained earnings growth. The company is classified as a small entity with minimal fixed assets (fully depreciated). Current assets (£27,489) exceed current liabilities (£12,908), generating a positive net current asset position (£14,581), indicating sufficient short-term financial buffer. The share capital is minimal (£2). The director’s loan account (£9,950) is material relative to equity, suggesting the company depends on director funding rather than external debt or equity capital. Overall, financial strength is adequate for its scale but limited in resources.

3. Cash Flow Assessment:
   Cash at bank increased significantly from £452 in 2023 to £14,329 in 2024, improving liquidity substantially. Debtors remained stable at approximately £13,160, which is a sizeable component of current assets and should be monitored for timely collection. Current liabilities have increased from £2,000 to £12,908, but the company still maintains positive working capital. The increase in liabilities may warrant review to ensure no undue pressure on cash flows. The director loan account suggests internal financing is the primary liquidity source. The company has no external borrowings disclosed, limiting credit risk but also external funding flexibility.

4. Monitoring Points:

• Debtor collection periods and aging: ensure receivables remain collectible and do not impair liquidity.
• Director’s loan balance: monitor repayments or further advances to assess reliance on shareholder funding.
• Current liabilities growth: investigate causes behind the increased short-term liabilities and ensure they are manageable.
• Profitability trends: as profit/loss details are not disclosed, future filings should be reviewed for sustainable earnings.
• Compliance with filing deadlines continues to be met; maintain good governance and timely reporting.