LUSH VENTURES LTD

Executive Summary

LUSH VENTURES LTD presents a weak credit profile characterized by negative equity, no current assets, and insufficient liquidity to cover liabilities. The company’s financial position suggests an inability to meet debt obligations, making credit approval unfeasible at this stage. Continuous monitoring of financial improvements and management actions is recommended before reconsidering credit facilities.

LUSH VENTURES LTD - Analysis Report

Company Number: 14349083

Analysis Date: 2025-07-29 20:24 UTC

1. Credit Opinion: DECLINE
   LUSH VENTURES LTD demonstrates a very weak financial position with negative net assets (£-69) as of the last reporting date. The company’s balance sheet shows no fixed assets and zero current assets in 2024, with current liabilities of £69. This indicates an inability to meet short-term obligations from available liquid resources. The minimal scale of operations (micro entity with no employees) and the negative equity position raise significant concerns about sustainability and repayment capacity. Without tangible assets or working capital, the company lacks financial resilience, making it an unsuitable candidate for credit facilities at this time.

2. Financial Strength:
   The company’s financial statements reveal a deteriorating balance sheet. In 2023, net assets were marginally positive (£1), but by 2024, net assets turned negative (£-69), indicating losses or write-downs have eroded equity. The absence of fixed assets and the depletion of current assets from £155 to zero suggest the company may have used up cash or receivables, potentially to cover liabilities or operating costs. This weak capital base and negative net worth signify poor financial strength and minimal buffer against financial stress.

3. Cash Flow Assessment:
   Liquidity is critically constrained. With no current assets reported in 2024, the company does not hold cash or equivalents to cover its current liabilities (£69). This negative working capital position implies an inability to service short-term debts or operating expenses without external support. The absence of employees and likely minimal operating activity further indicates limited cash inflow generation. The company does not demonstrate sufficient liquidity or working capital to support ongoing operations or additional credit.

4. Monitoring Points:

• Monitor future filings for restoration of positive net assets and current assets.
• Watch for any changes in liabilities that could increase short-term financial pressure.
• Review management’s plans for capital injection or operational turnaround.
• Confirm if the company secures external funding or improves cash flow generation.
• Ensure timely filing compliance to assess financial updates regularly.