MPROJECTS SOFTWARE & ENGINEERING LTD

Executive Summary

MPROJECTS SOFTWARE & ENGINEERING LTD is a micro-entity in its initial year of operation with a small but positive net asset position and working capital. While credit risk appears low due to minimal liabilities, limited scale and operating history warrant a cautious credit stance. Conditional approval is recommended, with close monitoring of financial growth, cash flow development, and compliance going forward.

MPROJECTS SOFTWARE & ENGINEERING LTD - Analysis Report

Company Number: 14502142

Analysis Date: 2025-07-29 12:33 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   MPROJECTS SOFTWARE & ENGINEERING LTD is a newly incorporated micro-entity with limited financial history but currently shows a positive net asset position and positive working capital. However, as a micro-entity with minimal turnover and limited operating history, credit exposure should be cautiously limited and closely monitored. The company’s modest size and single employee suggest limited operational scale, so credit facilities should be structured conservatively. Approval is conditional on obtaining additional cash flow and trading performance data as the business matures.

2. Financial Strength
   The company reports net assets of £1,181 and net current assets of £1,181 as of 30 November 2023, indicating a positive but minimal equity base. Current assets of £1,434 versus current liabilities of £253 reflect a modest working capital surplus. No fixed assets or long-term liabilities are reported, which is typical for a micro-entity in early stages. The capital structure is entirely equity financed at this point, with no debt exposure evident. Overall, the balance sheet is stable but very limited in scale.

3. Cash Flow Assessment
   With current assets primarily amounting to £1,434 and current liabilities at £253, the company maintains a basic liquidity buffer. However, the absolute cash and asset values are low, reflecting the company’s nascent stage and micro classification. The presence of only one employee indicates a lean operational structure, potentially limiting overheads. Cash flow visibility is limited due to the absence of detailed P&L or cash flow statements. Close attention should be paid to future cash generation ability and working capital management as trading advances.

4. Monitoring Points

• Growth in turnover and operating profitability in subsequent accounting periods.
• Expansion of net assets and strengthening of working capital beyond current minimal levels.
• Evidence of sustainable positive cash flows to support debt servicing capacity.
• Stability and composition of the shareholder base and management continuity.
• Timely submission of future statutory filings and accounts to maintain compliance and transparency.
• Any material changes in business scale, staffing, or industry risks given the consulting and software development focus.