Company Number: 13120214

Analysis Date: 2025-07-20 13:50 UTC

1. Credit Opinion: APPROVE
   John O'Brien Consulting Limited demonstrates a solid financial position for a micro-entity. The steady increase in net assets and net current assets over the last four years, coupled with no overdue filings or signs of financial distress, supports their ability to service credit obligations. The company is small, with only one employee, limiting operational complexity and risk. Given the absence of audit requirements and the straightforward business model (management consultancy), the risk profile is relatively low. The directors appear stable and financially prudent.

2. Financial Strength:
   The balance sheet shows a consistent and healthy upward trajectory in net current assets from £8,922 in 2021 to £60,392 in 2025. The company holds no fixed assets, which is typical for a consultancy, and has strong liquidity reflected in current assets exceeding current liabilities by a wide margin. Shareholders’ funds have grown from around £9k to over £60k, indicating retained earnings accumulation and financial resilience. The capital structure is simple with nominal share capital and no reported long-term debt, minimizing financial leverage risk.

3. Cash Flow Assessment:
   Current assets are primarily cash and debtors, with cash balances growing from £20,010 in 2021 to £45,961 in 2024, supporting strong liquidity. Current liabilities remain moderate and manageable, peaking at £21,766 in earlier years but reducing to £16,322 in 2025. The net working capital position is robust, ensuring the company can meet short-term obligations without strain. The consistent positive net current assets indicate sufficient operational cash flow and working capital management suitable for the company’s size and industry.

4. Monitoring Points:

• Continue to monitor net current assets and cash balances to ensure liquidity remains strong, particularly given the micro company status and reliance on consultancy fees.
• Watch for any increase in current liabilities or delayed debtor collections that could pressure working capital.
• Monitor any changes in director appointments or PSC status that could impact governance or control.
• Verify that annual accounts and confirmation statements continue to be filed on time to avoid regulatory or credit rating issues.
• Assess any significant changes in business activity or external economic factors that could impact consultancy demand.