KISA2CARE LIMITED

Executive Summary

KISA2CARE LIMITED is a micro-entity with very limited financial resources and a declining net asset base, reflecting potential liquidity pressures. While currently compliant and operational, the significant decrease in working capital warrants cautious credit consideration with close monitoring of cash flow and solvency indicators. Credit approval should be conditional on regular financial updates and maintaining a strong liquidity position.

KISA2CARE LIMITED - Analysis Report

Company Number: NI690027

Analysis Date: 2025-07-29 21:01 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   KISA2CARE LIMITED is a very young micro-entity operating in residential care activities with limited financial history. The balance sheet shows a significant decline in net current assets and net assets from £6,093 in 2023 to £986 in 2024, indicating a deterioration in financial strength. While the company is currently active and compliant with filing deadlines, the sharp reduction in working capital suggests potential liquidity constraints. Given the small scale and limited financial resources, credit facilities should be cautiously extended with conditions such as regular monitoring and limits on exposure.

2. Financial Strength:
   The company’s financial position at 31 July 2024 shows net assets of only £986, down from £6,093 the previous year. Current assets have decreased from £13,209 to £5,731, while current liabilities remain relatively stable (£4,745 vs £7,116). This results in a slim net current asset position of £986, indicating very limited buffer to absorb shocks or cover short-term obligations. The company is classified as micro-entity with 2 employees, suggesting minimal operational scale and asset base. The decline in equity over one year is a concern, pointing to either losses or cash withdrawals.

3. Cash Flow Assessment:
   The sharp fall in current assets, notably cash or receivables, combined with stable current liabilities, signals tight liquidity. The working capital level is marginal, which may constrain the company’s ability to meet immediate debts or unexpected expenses. No detailed cash flow statement is provided, but the balance sheet changes imply cash outflows or reduced inflows. With limited net assets and a small operational scale, ongoing cash flow management is critical to avoid solvency issues.

4. Monitoring Points:

• Monthly/quarterly review of cash flow and working capital to ensure liquidity is maintained.
• Watch for any late payments or increases in short-term liabilities that could strain cash resources.
• Track profitability and any further erosion of net assets in subsequent accounts.
• Monitor director’s financial support or capital injections if needed, given sole control by Mrs. Maureen Kisa Dumba.
• Confirm ongoing compliance with filing deadlines and any changes in operational scale or employee numbers.