JOSEF WEALTH MANAGEMENT LIMITED

Executive Summary

Josef Wealth Management Limited is a newly established micro-sized financial management firm showing declining net assets and cash reserves in its second year of operation. While it maintains compliance and has no adverse governance issues, the company demonstrates limited financial strength and liquidity. Credit approval is recommended on a conditional basis with close monitoring of cash flow and capital adequacy.

JOSEF WEALTH MANAGEMENT LIMITED - Analysis Report

Company Number: 14501747

Analysis Date: 2025-07-29 12:48 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Josef Wealth Management Limited is a very recently incorporated private limited company (since November 2022) operating in the financial management sector. The company’s financials show positive net current assets and shareholders’ funds, but a notable decline in these figures over the latest year. The company maintains compliance with filing deadlines and shows no adverse director records. However, the shrinking working capital and cash balances suggest limited liquidity buffers. Given its micro size and short operating history, credit approval should be conditional on close monitoring and possibly secured lending terms, as the company is still establishing its financial resilience.

2. Financial Strength:
   The balance sheet as of 30 November 2024 shows total assets less current liabilities of £4,012, down from £10,441 in the prior year. Shareholders’ funds decreased correspondingly from £10,441 to £4,012, indicating a drawdown of retained earnings or losses incurred. Fixed assets are minimal (£641 net book value), consistent with a service business model. Current liabilities increased slightly to £6,383, mainly due to taxation and social security obligations. Overall, the company’s financial strength is weak due to eroding equity and limited asset base, though no significant long-term liabilities exist.

3. Cash Flow Assessment:
   Cash at bank dropped from £15,589 to £9,754 over the year, reflecting reduced liquidity. Net current assets stand at £3,371, indicating some working capital cushion but significantly reduced from prior year’s £9,866. The company has very limited financial flexibility in the short term and must manage cash carefully to meet creditors due within one year (£6,383). The absence of an income statement limits detailed cash flow analysis, but the trends suggest cash outflow pressures possibly related to operational growth or initial setup costs.

4. Monitoring Points:

• Track monthly cash balances and working capital to ensure liquidity does not deteriorate further.
• Monitor profitability once income statements become available to assess if retained earnings are rebuilding.
• Review tax liabilities and creditor aging to avoid potential enforcement action.
• Watch for any changes in director appointments or ownership that could affect governance.
• Assess ability to secure further capital or credit facilities if growth plans require additional funding.