I&A DUNDEE LTD

Executive Summary

I&A Dundee Ltd shows a robust financial position for a young SME, with positive net assets growth and strong liquidity evidenced by high cash reserves and improved working capital. The company’s management appears stable and compliant with filing obligations. Credit approval is recommended with routine monitoring of cash flow and liabilities to maintain financial health.

I&A DUNDEE LTD - Analysis Report

Company Number: SC738984

Analysis Date: 2025-07-29 20:57 UTC

1. Credit Opinion: APPROVE
   I&A Dundee Ltd demonstrates a satisfactory financial position with positive net assets and improving liquidity. The company shows growth in net current assets and shareholders’ funds over the last year, indicating enhanced capability to meet short-term obligations. The business operates in retail with a stable management structure and no adverse director conduct records. Given the positive trend and no overdue filings, the company is considered creditworthy for typical SME credit facilities.

2. Financial Strength:
   The balance sheet shows total net assets of £191,747 as of 31 July 2024, up from £70,754 the previous year, reflecting a significant strengthening of equity. Fixed assets remain stable around £72k, while current assets increased to £343,884 driven mainly by higher cash balances (£278k). Current liabilities decreased from £272k to £224k, improving working capital to a positive £119,760. This indicates a solid capital base and reduced short-term liabilities relative to assets.

3. Cash Flow Assessment:
   The company holds strong liquidity with a cash balance of £278,153, which comfortably covers current liabilities of £224,124. The increase in cash and reduction in creditors suggests improved cash generation or better management of payables. Debtors are low (£8,781) and stable, minimizing credit risk from customers. Stocks are modest (£56,950) and consistent with prior year. Overall, the working capital position is healthy, supporting ongoing operational needs and debt servicing capability.

4. Monitoring Points:

• Continue to monitor cash flow and creditor days to ensure sustained liquidity and timely payments.
• Watch profitability trends as profit and loss details are not disclosed; sustained earnings are critical for long-term creditworthiness.
• Track any changes in current liabilities, particularly taxation and social security, which increased notably year on year.
• Monitor any expansion in fixed assets or stock levels that could tie up cash.
• Ensure timely filing of future accounts and confirmation statements to avoid compliance risk.