MULTIPLY CONSULTING LIMITED

Executive Summary

Multiply Consulting Limited is an early-stage small private company showing positive net asset values but experiencing a substantial decrease in cash and net current assets over the latest year, suggesting emerging liquidity concerns. The company remains compliant with filing obligations and is under stable management, but limited operating history and reduced working capital warrant cautious monitoring and further financial review.

MULTIPLY CONSULTING LIMITED - Analysis Report

Company Number: 14157958

Analysis Date: 2025-07-29 18:59 UTC

1. Risk Rating: MEDIUM
   The company shows a decline in net current assets and shareholders’ funds over the latest year, with a significant drop in cash balances and current liabilities remaining substantial. While still solvent, these trends suggest caution due to potential liquidity constraints.

2. Key Concerns:

• Declining Liquidity: Cash decreased markedly from £73,166 in 2023 to £21,994 in 2024, a reduction of approximately 70%, which may indicate cash flow pressures.
• Increased Risk of Working Capital Strain: Current liabilities remain material at £11,390, and with reduced cash and no debtors reported in the latest year, the company’s ability to cover short-term obligations could be compromised.
• Limited Financial History and Scale: Established in 2022 and categorized as a small company with minimal share capital (£100), the limited operating history restricts assessment of operational stability and resilience.

3. Positive Indicators:

• Positive Net Current Assets and Shareholders’ Funds: Despite reductions, net current assets remain positive at £10,604 and shareholders’ funds at £14,550, indicating the company is still in a net asset positive position.
• No Overdue Filings: The company is compliant with statutory filing deadlines for accounts and confirmation statements, reflecting sound regulatory compliance.
• Active Status and Clear Management: The company is active with a single director who also holds significant control, which simplifies governance and accountability.

4. Due Diligence Notes:

• Investigate causes behind the sharp decline in cash reserves and absence of trade debtors in the latest year to understand operational cash flow dynamics.
• Review the nature and timing of current liabilities to assess payment obligations and whether any creditor pressure exists.
• Obtain more detailed management accounts or cash flow forecasts to evaluate sustainability and potential funding needs.
• Verify the background and experience of key personnel to gauge managerial capability in navigating early-stage business risks.
• Assess the company's customer base and contracts to determine revenue stability and growth prospects.