MENTOR SERVICES MANAGEMENT LIMITED

Executive Summary

Mentor Services Management Limited demonstrates a strong and improving financial position with ample liquidity and growing equity, supporting a positive credit assessment for lending. The company’s sound working capital management and low liabilities reduce risk, though ongoing monitoring of cash flow and client contracts is advised. Overall, the business shows good resilience and financial stewardship for its size and age.

MENTOR SERVICES MANAGEMENT LIMITED - Analysis Report

Company Number: 14305927

Analysis Date: 2025-07-29 20:52 UTC

1. Credit Opinion: APPROVE
   Mentor Services Management Limited presents a stable and improving financial position, with positive net current assets and shareholders’ funds increasing nearly fourfold year-on-year. The company operates in management of real estate on a fee or contract basis, a sector that can be resilient with consistent cash flow if client contracts are steady. There are no overdue filings or regulatory concerns, and directors appear responsible in compliance. Given the healthy liquidity, growing equity base, and no adverse indicators, the company should be capable of servicing credit facilities.

2. Financial Strength:
   The company's balance sheet shows a solid foundation for a young business incorporated in 2022. Shareholders’ funds grew from £11,029 in 2023 to £41,345 in 2024, indicating retained earnings accumulation or additional capital injection. Current assets increased substantially to £53,280, boosted mainly by cash balances rising from £879 to £37,555, improving liquidity significantly. Current liabilities remain low at £11,935, mostly taxation and other creditors, maintaining a comfortable net current asset position of £41,345. The absence of fixed assets and long-term liabilities suggests a lean operation with low financial leverage.

3. Cash Flow Assessment:
   Cash flow appears strong with cash at bank increasing fourfold in the latest period, enhancing immediate liquidity and working capital. Debtors are relatively low and manageable at £15,725, and the company’s ability to cover short-term liabilities nearly 4.5 times (current ratio approx. 4.5) indicates good short-term financial health. No reported overdrafts or short-term borrowings reduce refinancing risk. This liquidity position supports timely debt servicing and operational expenses.

4. Monitoring Points:

• Continued monitoring of client contract stability and payment collections to maintain debtor quality.
• Watch for changes in taxation and creditor balances, especially any rapid growth which might strain working capital.
• Observe cash flow trends in future periods to ensure liquidity is sustained as the business scales.
• Monitor any changes in directors or ownership that could impact governance or strategic direction.
• Review profit generation in next filings to confirm ongoing financial viability beyond capital injections.