JACKSONS (BOUNDARY) SUB LTD

Executive Summary

Jacksons (Boundary) Sub Ltd is a newly formed micro-entity with a leveraged balance sheet and negative net worth, relying heavily on creditor funding. The absence of operating history and employee base limits visibility on cash flow generation and repayment capacity. Consequently, the company is not currently suitable for credit extension without substantial improvement in financial stability and trading performance.

JACKSONS (BOUNDARY) SUB LTD - Analysis Report

Company Number: 15222672

Analysis Date: 2025-07-29 16:29 UTC

1. Credit Opinion: DECLINE. Jacksons (Boundary) Sub Ltd is a newly incorporated micro-entity with only one financial period reported. The company shows net liabilities (negative shareholders’ funds) of £35,902 despite positive net current assets. The substantial long-term creditor balance (£674,100) outweighs current assets, indicating heavy reliance on external funding. No turnover or profit data is available, and the company has no employees, suggesting minimal operating activity so far. Given the high leverage, negative net worth, and lack of trading history, the company currently does not demonstrate sufficient capacity to service additional debt or credit facilities.

2. Financial Strength: The balance sheet reveals current assets of £706,265 primarily offset by current liabilities of £67,348, yielding positive net current assets of £638,917. However, long-term liabilities stand at £674,100, pushing the total net assets to negative £35,902. This indicates that the company’s long-term funding structure is weak, and equity is in deficit. The absence of tangible fixed assets and limited operational data limits the assessment, but the financial position suggests a structurally leveraged balance sheet dependent on creditor funding.

3. Cash Flow Assessment: While current assets exceed current liabilities, supporting short-term liquidity, the company’s large non-current liabilities and negative net worth raise concerns over medium to long-term cash flow sustainability. The lack of reported turnover and absence of employees imply no operating cash inflows or operational cash generation to date. Reliance on creditor funding without visible revenue streams poses a liquidity risk under stress or adverse conditions.

4. Monitoring Points:

• Future trading performance and profitability to assess the ability to generate operating cash flow.
• Changes in creditor balances, especially long-term liabilities, to monitor leverage trends.
• Timely filing of subsequent accounts and confirmation statements for ongoing compliance.
• Any capital injections or restructuring efforts to strengthen equity base.
• Management actions regarding business development and operational scalability.