MFFC LIMITED

Executive Summary

MFFC LIMITED exhibits a solid and improving financial position with strong equity growth and positive working capital, supporting a credit approval decision. The company’s micro-entity status and specialist medical sector reduce risk, while director continuity and regulatory compliance reinforce confidence in management. Ongoing monitoring should focus on liquidity maintenance and compliance adherence to safeguard credit quality.

MFFC LIMITED - Analysis Report

Company Number: SC756489

Analysis Date: 2025-07-29 17:10 UTC

1. Credit Opinion: APPROVE
   MFFC LIMITED demonstrates a stable and improving financial position with growing net assets and positive working capital. The company is active, compliant with filings, and operates in a specialist medical practice sector, which generally has stable demand. Directors have no negative conduct records, and ownership is well-defined between two experienced individuals. The company’s micro-entity status with limited financial complexity implies a lower risk profile. While relatively new (incorporated 2023), its financial trajectory shows growth, supporting credit approval for modest facilities.

2. Financial Strength:
   The balance sheet as of 31 December 2024 shows net assets of £40,915, up from £17,907 in 2023, indicating significant equity growth. Fixed assets are modest (£3,376) but stable. Current assets increased from £33,922 to £46,498, while current liabilities rose slightly from £18,762 to £21,041. The net current assets (working capital) improved from £15,160 to £37,539, reflecting enhanced short-term liquidity. Share capital is minimal (£100), typical for a micro entity, but shareholders’ funds have grown strongly, indicating retained earnings or capital injections.

3. Cash Flow Assessment:
   The company has a healthy liquid position with current assets significantly exceeding current liabilities. The increase in prepayments and accrued income (£12,082) needs monitoring but does not currently impair liquidity. Operating lease commitments are low (£5,979) and manageable. Employment of 2 staff members suggests a lean cost base, consistent with micro-entity status. Overall, liquidity appears sufficient to meet short-term obligations and service debt without strain.

4. Monitoring Points:

• Continued growth in net assets and working capital to confirm financial stability.
• Timely filing of accounts and confirmation statements to maintain compliance.
• Watch for any increases in liabilities or lease commitments that could strain liquidity.
• Monitor any significant changes in revenue or profit margins once P&L data is available.
• Director and ownership stability to ensure consistent management oversight.