KCM CONSULTING LTD

Executive Summary

KCM CONSULTING LTD is financially sound with strong liquidity and growing equity, reflecting prudent management and stable operations. The company’s micro-entity status and positive working capital support its ability to service credit facilities. Continued monitoring of provisions and market conditions is recommended to ensure ongoing credit reliability.

KCM CONSULTING LTD - Analysis Report

Company Number: 13395360

Analysis Date: 2025-07-29 20:32 UTC

1. Credit Opinion: APPROVE
   KCM CONSULTING LTD demonstrates a strong financial position with substantial net assets and positive working capital. The company has no overdue filings and shows consistent growth in shareholders’ funds over the past three years. As a micro-entity with a conservative balance sheet and no employees, it poses a low credit risk for modest credit facilities. The director is the sole controller, and there is no indication of adverse management conduct. The lack of audit requirement and small scale is typical for micro companies and does not raise immediate concerns.

2. Financial Strength:
   The company’s net assets increased from £46,257 in 2021 to £145,359 in 2024, reflecting retained earnings and capital growth. Fixed assets are minimal (£788), consistent with consultancy operations that are not capital intensive. Current assets, primarily cash and receivables, exceed current liabilities by a wide margin (£174,607 net current assets), indicating strong liquidity and low short-term financial stress. Provisions have increased but remain manageable within equity levels.

3. Cash Flow Assessment:
   The large positive net current assets and increasing current assets from £75.8k to £180.8k over three years suggest healthy cash flows and working capital management. Current liabilities remain low and stable, implying the company is likely to meet near-term obligations comfortably. Absence of employees reduces payroll liabilities and cash flow volatility.

4. Monitoring Points:

• Track continued growth in net assets and working capital to maintain liquidity buffer.
• Monitor provisions increase for any emerging liabilities that could impact solvency.
• Watch for any changes in filing status or director conduct that might affect creditworthiness.
• Assess impact of economic conditions on consultancy demand, given reliance on management consultancy activities.