Company Number: 13546534

Analysis Date: 2025-07-29 19:12 UTC

1. Credit Opinion: APPROVE
   NAD CONSTRUCT LTD demonstrates solid financial fundamentals for a micro-entity engaged in construction of domestic and commercial buildings. The company shows consistent growth in net assets over the last three years, doubling from £33k in 2021 to nearly £128k in 2024. Current liabilities are modest relative to current assets, indicating good short-term liquidity. The sole director and controlling shareholder, Mr Nicusor Asaoanu, appears committed with no adverse records. Given the company’s positive trajectory, stable working capital, and absence of overdue filings or liquidation status, credit facilities can be approved with standard monitoring.

2. Financial Strength:
   The balance sheet reflects steadily increasing fixed assets from £6.75k to £53.86k over three years, signifying reinvestment and asset accumulation. Current assets remain stable around £93-99k, while current liabilities have decreased from £29k to £19.5k, improving net current assets to £74k. Net assets have almost quadrupled since inception, indicating retained earnings and equity growth. The company has no long-term liabilities reported, which reduces financial risk. Shareholders’ funds fully support the net assets, reflecting a clean equity base.

3. Cash Flow Assessment:
   Working capital is strong with current assets approximately 4.8 times current liabilities, indicating adequate liquidity to cover short-term obligations. The company employs 2 staff which keeps overheads manageable. Although detailed cash flow statements are not provided, the increase in net current assets and reduction in short-term creditors suggests positive operational cash flow or effective debtor management. The absence of overdue filings and no external financing noted also points to prudent financial management.

4. Monitoring Points:

• Continue monitoring debtor collection and stock levels to maintain liquidity.
• Watch for any rapid increase in current liabilities or overdue payables that could strain working capital.
• Track fixed asset investments to ensure they are translating into revenue growth.
• Review director’s credit conduct and any changes in company control or ownership.
• Monitor sector risks in construction, including supply chain or labour cost pressures that could impact margins.