LUNT LTD

Executive Summary

LUNT LTD exhibits a strong micro-entity financial profile with stable net assets and solid working capital, supporting an ability to service debt. The company’s early stage and single-director control warrant moderate credit limits with ongoing monitoring of cash flow and business growth. Overall, credit risk is low based on current data, making the company suitable for credit approval with prudent exposure limits.

LUNT LTD - Analysis Report

Company Number: 14496973

Analysis Date: 2025-07-29 20:50 UTC

1. Credit Opinion: APPROVE – LUNT LTD demonstrates a solid financial position with positive net assets and consistent working capital. The company is micro-sized with minimal liabilities relative to current assets, indicating capacity to meet short-term obligations. The director’s full ownership and control suggest stable management. However, given the young age (incorporated late 2022) and limited employee base, lending should be moderate and monitored until longer trading history is available.

2. Financial Strength: The balance sheet shows net assets of £53,884 as of 30 November 2024, stable compared to the prior year (£53,710). Fixed assets are negligible (£982), typical for a consultancy. Current assets exceed current liabilities by £54,101, reflecting strong liquidity and working capital. No significant long-term debt is present; only £1,199 creditor amounts falling due after one year, which is manageable. Overall, the company maintains a healthy capital structure with no signs of financial distress.

3. Cash Flow Assessment: Current assets of £102,355 primarily represent cash and receivables supporting liquidity. Current liabilities have reduced from £81,079 to £48,254, improving net current assets. This suggests effective working capital management and adequate cash flow to cover short-term debts. The company employs only one person, indicating low fixed overheads which reduce cash flow risk. The absence of audit and micro-entity filing also indicates low operational complexity.

4. Monitoring Points:

• Track receivables aging and cash flow cycles, especially with limited employees.
• Monitor any increase in liabilities or reduction in current assets that may strain liquidity.
• Watch for growth in turnover and profitability in future accounts to confirm business viability.
• Observe director’s ongoing involvement and any changes in control or governance.
• Confirm timely filing of accounts and returns continues to avoid compliance risk.