MOON WALK TECH LTD

Executive Summary

Moon Walk Tech Ltd is a newly formed private company with limited financial history and negative net assets, indicating weak capitalization and creditor reliance. The company currently shows modest liquidity but lacks demonstrated ability to generate operating cash flow or profits. Given the significant long-term liabilities and lack of trading track record, credit exposure would be high risk at this stage, warranting a decline of credit facilities until further financial performance data becomes available.

MOON WALK TECH LTD - Analysis Report

Company Number: SC792495

Analysis Date: 2025-07-20 16:06 UTC

1. Credit Opinion: DECLINE
   Moon Walk Tech Ltd is a newly incorporated small private company with limited financial history and a negative net asset position (£-87). The company’s total liabilities after one year (£18,892) exceed its total current assets (£18,284), indicating weak solvency. The absence of turnover or profit data and negative shareholders’ funds pose significant credit risk. Without operating history or demonstrated cash flow generation, the company lacks capacity to service debt or repay loans reliably at this stage.

2. Financial Strength:
   The balance sheet shows minimal fixed assets (£871) and current assets (£18,284), primarily stock (£14,562) and modest cash (£3,722). Current liabilities are low (£350), but long-term liabilities of £18,892 create net liabilities of £87. The company’s negative equity signals undercapitalization and that it is currently relying on creditor funding. As a startup incorporated in late 2023, it is typical to have weak financial strength initially, but the negative net assets and creditor reliance are concerns.

3. Cash Flow Assessment:
   Cash position is low at £3,722 with working capital positive at £17,934 due to low current liabilities. However, the large amounts due after one year (long-term creditors £18,892) suggest potential refinancing risk or liquidity pressure in the medium term if the business does not generate cash inflows. No information on operating cash flow or revenues is available, which limits confidence in the company’s ability to generate sustainable liquidity.

4. Monitoring Points:

• Turnover and profit trends in next accounting periods to assess trading viability.
• Changes in net asset position and equity to monitor financial stability.
• Cash flow from operations to evaluate liquidity and debt servicing ability.
• Management actions addressing the long-term creditor balance and capital structure.
• Timely filings of accounts and confirmation statements to ensure compliance and transparency.