MARVELLOUS SERVICES LIMITED

Executive Summary

Marvellous Services Limited is a recently incorporated micro IT consultancy showing signs of financial strain with a sharp decline in net assets and working capital in its latest accounts. While still active and compliant with filings, its liquidity position is weak, warranting cautious credit with exposure limits and close ongoing monitoring of financial metrics. Further financial strengthening and evidence of improved cash flows are needed to support increased credit facilities.

MARVELLOUS SERVICES LIMITED - Analysis Report

Company Number: 13847385

Analysis Date: 2025-07-29 12:50 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Marvellous Services Limited is a very small, micro-entity IT consultancy incorporated recently in 2022. The company shows a significant decline in net current assets and net assets from £5,225 in 2023 to only £663 in 2024, indicating a weakening balance sheet and potential liquidity stress. However, the company remains active with no overdue filings and appears to be managed by a single director with full share ownership. Given the limited operating history and deteriorating working capital, credit should be extended cautiously, ideally with limits on exposure and close monitoring.

2. Financial Strength:
   The latest accounts show total net assets of just £663, down sharply from £5,225 the previous year. Fixed assets increased slightly but remain minimal. Current assets have dropped from £9,180 to £3,221, while current liabilities have remained stable around £4,270, causing net current liabilities of £1,051 in 2024 versus net current assets of £4,915 in 2023. This erosion of working capital weakens the company’s financial stability and its ability to meet short-term obligations.

3. Cash Flow Assessment:
   The reduction in current assets, likely cash or receivables, combined with stable current liabilities, suggests tight liquidity and potential cash flow constraints. The company employs only one person, implying low operating expenses, but the negative net current assets position indicates challenges in covering short-term debts from liquid assets. Without additional capital injection or improvement in receivables collection, liquidity risk remains elevated.

4. Monitoring Points:

• Watch the next set of accounts for stabilization or improvement in net current assets and overall net assets.
• Monitor cash flow statements (if available) or bank statements for liquidity trends.
• Review any new debt or capital injections that may support working capital.
• Track the company’s ability to maintain current liabilities within manageable limits.
• Keep an eye on director appointments and any changes in control or business strategy.