KERNOW GROUP (SOUTHWEST) LTD

Executive Summary

Kernow Group (Southwest) Ltd is a newly formed dormant company with negligible net assets and no trading history, resulting in an inability to service credit facilities at this time. The company's financial position is very weak with minimal liquidity and no operational cash flow. Credit approval is not recommended until the company demonstrates trading activity and financial stability.

KERNOW GROUP (SOUTHWEST) LTD - Analysis Report

Company Number: 14458721

Analysis Date: 2025-07-20 19:16 UTC

1. Credit Opinion: DECLINE
   Kernow Group (Southwest) Ltd is a very recently incorporated company (Nov 2022) with dormant status and nominal financial activity. The latest accounts show essentially zero trading activity, minimal net assets (£2), and no employees. There is no evidence of revenue generation or cash flow capacity to service debt or credit facilities. The company is classified as micro and dormant, indicating no operational financial history to support creditworthiness. Given the absence of financial substance or operational track record, extending credit would be highly speculative and carries considerable risk.

2. Financial Strength:
   The balance sheet at 31 March 2024 shows current assets of £440 balanced by current liabilities of £438, resulting in net current assets of £440 (likely a reporting anomaly) and total net assets of £2. The company has no fixed assets or retained earnings, reflecting its dormant status. There is a creditor amount of £438 falling due after one year, which further weakens the financial position. Overall, the company has negligible equity and minimal liquidity, indicating very weak financial strength.

3. Cash Flow Assessment:
   With no employees and no reported trading activity, the company has no operating cash flows. The small current assets figure of £440 is minimal and likely represents cash or nominal receivables, insufficient to cover any meaningful liabilities or working capital needs. The absence of operating cash inflows and lack of historical cash flow data make it impossible to assess repayment ability or liquidity resilience.

4. Monitoring Points:

• Monitor future annual accounts for evidence of trading activity and revenue generation.
• Watch for changes in net assets and working capital position as the company develops.
• Review any director or shareholder changes, especially if new capital injections occur.
• Check for timely filing of accounts and confirmation statements to ensure ongoing compliance.
• Evaluate any forthcoming financial disclosures indicating business strategy or credit needs.