KATE CONSULTING LTD

Executive Summary

KATE CONSULTING LTD is a newly formed micro-entity with a fragile financial position typical of start-ups, showing minimal net assets and a slight working capital deficit. Conditional credit approval is recommended with low exposure and stringent ongoing monitoring due to limited financial history and absence of profit and loss disclosure. Close attention should be paid to liquidity trends and operational cash flow in the coming periods.

KATE CONSULTING LTD - Analysis Report

Company Number: 14645223

Analysis Date: 2025-07-29 20:34 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Kate Consulting Ltd is a recently incorporated micro-entity active in management consultancy. The company is in its first financial year and shows modest net assets of £449 with a slight net current liability position of £410. Given the nascent stage and very limited financial history, credit exposure should be limited and closely monitored. Approval can be granted conditionally with restrictions on credit limits and regular review of updated financial performance and liquidity metrics. The directors have not included a profit and loss statement, limiting insight into operational cash generation, which introduces some risk.

2. Financial Strength:
   The balance sheet indicates very low fixed assets (£859) and current assets (£7,421) nearly matched by current liabilities (£7,831), resulting in a small net liability in working capital (-£410). Shareholders’ funds stand at £449, reflecting a minimal equity base consistent with a start-up phase. The company’s micro classification limits disclosure but also indicates scale constraints. The financial position is fragile with low buffer to absorb shocks; however, no overdue filings or insolvency flags are present.

3. Cash Flow Assessment:
   Current liabilities slightly exceed current assets, indicating potential short-term liquidity pressure. However, given the small absolute amounts and the company’s micro scale, this may reflect timing issues rather than structural cash flow problems. The absence of profit and loss data restricts detailed cash flow analysis. With just two employees (including directors), overheads are likely low, but ongoing cash management will be critical in early operations. Monitoring working capital and cash conversion cycles is recommended.

4. Monitoring Points:

• Timely submission of next annual accounts and confirmation of profitability or cash flow improvement.
• Changes in current liabilities relative to current assets to assess liquidity trends.
• Directors’ ability to inject capital or provide financial support if required.
• Any significant increase in turnover or contracts that may affect credit exposure.
• Watch for any changes in director status or company filings that could signal governance or compliance issues.