NATURE HUNTER FILM LIMITED

Executive Summary

Nature Hunter Film Limited demonstrates ongoing financial weakness with deteriorating net liabilities and negative working capital, raising concerns about its ability to meet liabilities and sustain operations without external support. The company’s cash position is limited, and debtor concentration poses liquidity risk. Credit approval is not recommended at this stage without significant improvement in financial health or firm guarantees.

NATURE HUNTER FILM LIMITED - Analysis Report

Company Number: 12596570

Analysis Date: 2025-07-29 14:57 UTC

1. Credit Opinion: DECLINE
   Nature Hunter Film Limited exhibits a weak financial position with persistent negative net assets and net current liabilities over the last four years, indicating ongoing losses and erosion of equity. The company relies heavily on debtor balances that are significantly higher than cash reserves, creating liquidity strain. Despite stated director support, the lack of profitability and negative working capital raise concerns about its ability to service debt or meet commercial obligations sustainably.

2. Financial Strength:
   The balance sheet shows net liabilities worsening from -£9,744 in 2023 to -£31,661 in 2024. Shareholders’ funds are negative and deteriorating, reflecting accumulated losses. Fixed assets are minimal (£2,516) compared to current liabilities (£329,603), meaning limited asset backing for short-term obligations. The company’s capital base is weak, and the equity deficit suggests financial distress or undercapitalization.

3. Cash Flow Assessment:
   Cash on hand remains low (£16,140), while debtors have increased sharply to £279,286, representing potential collection risk and illiquid assets. Current liabilities have more than doubled year on year, resulting in net current liabilities of £-34,177, indicating insufficient working capital. This situation implies the company may struggle to cover short-term debts without additional funding or improved cash conversion.

4. Monitoring Points:

• Monitor debtor ageing and collectability closely to assess actual cash inflow potential.
• Watch changes in current liabilities and creditor terms to gauge liquidity pressure.
• Track any director or shareholder financial support given the going concern reliance on such support.
• Review profit and loss performance once available to identify any turnaround in operational results.
• Observe filing timeliness and any changes in director status for governance risks.