Company Number: 12634460

Analysis Date: 2025-07-29 16:57 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Menopause Experts Group Limited demonstrates improving financial health with a marked turnaround in net current assets from negative (£23,690) in 2023 to positive £51,259 in 2024 and a significant increase in total net assets to £150,615. However, the company carries substantial current liabilities (£149,026) and has no cash on hand as of 2024 year-end, relying heavily on debtors (£200,285) for liquidity. The concentration of ownership in two individuals and director turnover should be monitored. Given the positive trajectory but liquidity risks, credit should be approved with conditions such as regular monitoring of working capital and debtor collections.

2. Financial Strength:
   The company’s balance sheet has strengthened notably in 2024, with net assets more than doubling from £67,571 to £150,615, largely due to increased intangible assets and improved working capital. Intangible assets (mainly development costs amortised over 7 years) stand at £97,713, reflecting investment in proprietary technology or services. The company is classified as a small entity with modest share capital (£1.12 nominal) but significant share premium (£150,000). Although fixed assets are relatively low (£99,356), the company’s equity base is solid for its size. The reduction in current liabilities relative to current assets is a positive sign, but the high tax and social security creditor balance (£85,082) warrants attention.

3. Cash Flow Assessment:
   The absence of cash at bank at the year-end is concerning and indicates potential liquidity strain, especially with current liabilities of £149,026 due within one year. However, the large debtor balance (£200,285) suggests that cash flow depends heavily on timely collection of receivables. Net current assets improved by over £75,000 compared to prior year, indicating better short-term liquidity management. The company’s ability to convert debtors into cash quickly will be critical to meet short-term obligations. Monitoring working capital cycles and cash conversion efficiency is essential.

4. Monitoring Points:

• Debtor collection periods and aging to ensure timely cash inflows and reduce liquidity risk.
• Current liabilities, especially taxation and social security payables, which have increased significantly.
• Director changes and governance stability, given past turnover of key directors.
• Development and amortisation of intangible assets to assess ongoing investment and impairment risk.
• Cash flow statements and bank balances in future filings to monitor liquidity trends.