Company Number: 13658779

Analysis Date: 2025-07-20 16:26 UTC

1. Credit Opinion: DECLINE
   Synergy Supplements Ltd demonstrates a weak financial position with persistent negative net assets (£-8,916 as of 31/10/2023). The company’s current liabilities (£10,400) far exceed its current assets (£1,484), indicating insufficient liquidity to meet short-term obligations. The negative working capital and shareholders’ funds suggest poor ability to service debt or sustain credit facilities without additional capital injection. The company is also in the micro category with no employees and minimal operating scale, increasing risk. Management is concentrated in a single director with full control, which may limit oversight. Given these factors, the company currently does not present a reliable credit risk.

2. Financial Strength:
   The balance sheet is weak and deteriorating. Net current liabilities worsened from £-8,701 in 2022 to £-8,916 in 2023, showing no improvement in working capital management. Total net assets remain negative, indicating the company’s liabilities exceed its assets substantially. The company holds no fixed assets and limited current assets, primarily cash or equivalents, insufficient to cover creditors. Lack of equity and reliance on director funding or external financing likely constrains financial flexibility.

3. Cash Flow Assessment:
   Liquidity is a significant concern. Current liabilities of £10,400 are sizable relative to current assets, creating a working capital deficit of nearly £9,000. The absence of employees and small operational scale imply limited cash generation capability. Without positive cash flow or capital injections, the company risks defaulting on its liabilities. There is no indication of improved cash inflows or reduction of payables, suggesting cash flow pressures persist.

4. Monitoring Points:

• Improvement in net current assets and reduction of working capital deficit.
• Increase in current assets, especially cash or receivables, to cover short-term liabilities.
• Evidence of revenue growth or operational scaling to enhance cash generation.
• Changes in director or ownership structure that might affect governance or financial support.
• Timely filing of accounts and confirmation statements to avoid regulatory penalties.