LEAP 2 LEARN BOLTON LTD

Executive Summary

Leap 2 Learn Bolton Ltd is a start-up education services company with a modest but positive financial base and sufficient liquidity at this early stage. While the company’s limited operating history restricts comprehensive credit evaluation, the current balance sheet and cash position support conditional credit approval. Continuous monitoring of trading performance, cash flow, and compliance filings is advised to manage emerging risks.

LEAP 2 LEARN BOLTON LTD - Analysis Report

Company Number: 15085088

Analysis Date: 2025-07-29 19:38 UTC

1. Credit Opinion: CONDITIONAL APPROVAL

Leap 2 Learn Bolton Ltd is a newly incorporated private limited company (since August 2023) operating in the education sector (SIC 85590). Its first set of accounts show a modest net asset position (£2,647) and positive working capital (£2,647), supported primarily by cash (£6,732). The company currently has minimal liabilities (£4,185) and no fixed assets, reflecting an early-stage business. Given the limited financial history and scale, the credit risk is moderate but manageable with conditions. Approval is recommended subject to monitoring trading performance, cash flow stability, and timely filing of future accounts and returns.

2. Financial Strength:

• The balance sheet shows a small but positive net asset position (£2,647) originating mainly from retained earnings (£2,547) and nominal share capital (£100).
• Current assets of £6,832 (mostly cash) comfortably exceed current liabilities of £4,185, resulting in positive net current assets and indicating adequate short-term solvency.
• No long-term debt or fixed assets are recorded, which limits asset backing for credit but reduces financial risk.
• The company meets the "Micro" account category criteria, suggesting a small scale and simplified financial structure.
• The shareholder (Mr Ziaul Islam Choudhury) controls 75-100% of shares and voting rights, implying centralized control and potential ease in decision-making.

3. Cash Flow Assessment:

• Cash at bank is reported at £6,732 at year-end, exceeding short-term liabilities, a positive indicator of liquidity.
• Debtors are minimal (£100), suggesting limited credit sales or receivables risk at this stage.
• Creditors due within one year total £4,185, mainly other creditors and tax/social security liabilities.
• No information on operating cash flows or turnover is disclosed, limiting assessment of cash generation ability.
• The absence of fixed assets and loans suggests low capital expenditure and interest burden.
• Overall, current liquidity appears sufficient, but ongoing cash flow monitoring is essential given the company's infancy.

4. Monitoring Points:

• Future revenue growth and profitability to ensure build-up of retained earnings and improved net assets.
• Regular and timely filing of statutory accounts and confirmation statements to maintain compliance and transparency.
• Cash flow trends, focusing on operating cash generation and working capital management.
• Changes in creditor levels, especially any new short or long-term borrowings.
• Director and shareholder conduct, including any changes in management or control that could affect governance.
• Any expansion or capital investments that could impact financial stability.