INSOURCING SOLUTIONS LTD

Executive Summary

Insourcing Solutions Ltd is a start-up micro-entity with modest positive net assets and working capital, reflecting initial financial stability but limited operational history. Credit approval is conditional pending evidence of sustainable cash flows and growth in financial strength. Close monitoring of liquidity and compliance with filing requirements is recommended to mitigate early-stage risks.

INSOURCING SOLUTIONS LTD - Analysis Report

Company Number: 14812503

Analysis Date: 2025-07-29 14:14 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Insourcing Solutions Ltd is a newly incorporated micro-entity operating in the specialist medical practice sector. The company demonstrates a modest but positive net asset position and working capital, indicating initial financial stability. However, with only one reporting period since incorporation and limited scale (one employee, single director), credit risk is elevated due to lack of operational history and limited asset base. Approval is recommended subject to monitoring performance and further financial data to confirm sustainable cash flows and business viability.

2. Financial Strength:

• Total net assets stand at £770, reflecting a minimal equity base, typical for a start-up micro company.
• Fixed assets are negligible (£202), indicating limited investment in long-term resources.
• Current assets (£24,392) exceed current liabilities (£22,684), generating positive net current assets of £1,708, which supports short-term solvency.
• The presence of accruals and deferred income (£1,140) reduces net assets but does not materially impair the balance sheet.
• Overall, the balance sheet shows a small but positive net asset position, suitable for the company’s early stage.

3. Cash Flow Assessment:

• Current assets primarily consist of cash or receivables, but details are not specified.
• Net current assets of £1,708 indicate a limited working capital buffer, which is adequate but tight for meeting short-term liabilities.
• The company’s cash flow capacity is uncertain due to lack of detailed profit and loss information and no audit; this creates some risk.
• The single director’s professional background as an anesthetic practitioner may imply limited financial management experience, so cash flow management should be closely observed.

4. Monitoring Points:

• Timely filing of next accounts and confirmation statements to ensure compliance and visibility of financial trends.
• Development of positive operating cash flows and growth in net assets over subsequent periods.
• Monitoring of current liabilities and working capital ratios to prevent liquidity strain.
• Review of director’s management and governance practices as company scales operations.
• Watch for any material changes in shareholding or control that could impact credit risk.