IDENTITY ON TYNE CIC

Executive Summary

Identity On Tyne CIC is a start-up community interest company with no trading history, assets, or cash flow. It currently lacks the financial capacity to support credit facilities and presents a high credit risk. Monitoring future revenue generation and liquidity is essential before reconsidering credit exposure.

IDENTITY ON TYNE CIC - Analysis Report

Company Number: 15131576

Analysis Date: 2025-07-19 12:04 UTC

1. Credit Opinion: DECLINE
   Identity On Tyne CIC is a newly incorporated community interest company with no trading history or revenue to date. The latest accounts show zero turnover, negligible assets, no working capital, and an operating loss of £233 for the first 13 months. As a not-for-profit entity limited by guarantee, it lacks share capital and has no tangible financial strength. The absence of cash resources and current liabilities indicates minimal financial activity so far, but also no capacity to service any debt or credit facility. Without revenue or assets, this entity presents a high credit risk unsuitable for lending or commercial credit lines at this stage.

2. Financial Strength:
   The company’s balance sheet is essentially nil with zero fixed or current assets and no liabilities, resulting in zero net assets and shareholder funds. There is no equity buffer or financial reserves. The company is in start-up phase, with minimal operational scale and no financial track record. The absence of tangible or intangible assets limits collateral value for secured lending. The company is reliant on external funding or grants typical for community interest companies.

3. Cash Flow Assessment:
   Cash flow is non-existent as cash and equivalent assets stand at zero. The company reported a small operating loss reflecting modest administrative expenses. There are no debt obligations or payables recorded, but also no income generating activities. Working capital is zero, so the company currently depends entirely on incoming funds from grants, donations, or other non-commercial sources. There is no evidence of cash generation or liquidity to support credit facilities.

4. Monitoring Points:

• Future financial performance: monitor emergence of revenue streams and profitability
• Liquidity position: track cash balances and working capital improvements
• Funding sources: confirm secured grants, donations or other non-repayable funding
• Governance and management: assess development of financial controls as operations scale
• Community impact vs financial sustainability balance