KJ CENTRAL CONTRACTS LIMITED

Executive Summary

KJ CENTRAL CONTRACTS LIMITED shows a consistent upward financial trend with strong liquidity and positive net assets growth over the last three years. The company maintains good short-term financial health and low liabilities, supporting an approval for credit facilities with usual monitoring. Management appears stable, and the company is compliant with filing requirements, indicating sound operational control.

KJ CENTRAL CONTRACTS LIMITED - Analysis Report

Company Number: SC678558

Analysis Date: 2025-07-20 13:30 UTC

1. Credit Opinion: APPROVE
   KJ CENTRAL CONTRACTS LIMITED is a micro-entity active since 2020, operating in specialised construction activities. The company demonstrates an improving financial position with strong net current assets and positive equity growth year on year. There is no overdue filing, and directors appear stable with no adverse records. The company’s ability to meet short-term obligations is sound, supporting credit approval for modest facilities subject to standard monitoring.

2. Financial Strength:
   The company’s balance sheet shows steady improvement with net assets increasing from £704 in 2020 to £65,854 in 2023. Current assets have grown from £37,972 to £92,221, while current liabilities have decreased significantly to £26,367 in 2023 from £38,676 in 2020. Shareholders’ funds mirror net assets, indicating retained earnings or equity injections. The micro-entity status limits detailed financial disclosure, but available data suggests prudent financial stewardship and growth.

3. Cash Flow Assessment:
   Liquidity is robust with net current assets of £65,854 as of the last accounting date, reflecting good working capital management. The current ratio (current assets/current liabilities) stands at approximately 3.5x, indicating strong short-term liquidity. The company employs one staff member, implying low fixed overhead costs. While detailed cash flow statements are not available, current asset composition and low liabilities suggest adequate cash flow to service credit facilities.

4. Monitoring Points:

• Continue to track net current assets and liquidity ratios to ensure ongoing ability to meet short-term obligations.
• Monitor any changes in directorate or ownership that might affect management quality.
• Review annual accounts for any sudden increases in liabilities or deterioration in financial position.
• Watch for timely filing of accounts and confirmation statements to avoid regulatory risk.