NEXA BUSINESS STRATEGIES LTD

Executive Summary

Nexa Business Strategies Ltd is a financially stable micro-entity in its first full year of operations, showing sound equity and positive working capital. The company’s sole director and shareholder provide strong governance focus. Credit approval is recommended with periodic review of trading results and liquidity as the business grows.

NEXA BUSINESS STRATEGIES LTD - Analysis Report

Company Number: 15127066

Analysis Date: 2025-07-20 11:33 UTC

1. Credit Opinion: APPROVE
   Nexa Business Strategies Ltd is a newly incorporated micro-entity (established September 2023) with a clean status and no overdue filings. The company shows positive net assets and working capital, indicating initial financial stability. The director owns 100% of shares and exercises full control, which suggests centralized governance with clear accountability. While the company is in its infancy with limited operating history, the balance sheet strength and no signs of financial distress support credit approval, subject to monitoring of trading performance as it matures.

2. Financial Strength:
   As of 30 September 2024, fixed assets stand at £3,669 and current assets at £13,721, offset by current liabilities of £3,834, resulting in net current assets of £9,887. Total net assets and shareholders’ funds equal £13,256. This indicates a solid equity base relative to liabilities for a micro-entity, with no long-term debt reported. The company’s capital structure is fully equity funded, reducing financial risk. The small scale and limited asset base are consistent with its micro classification and early stage of business.

3. Cash Flow Assessment:
   Current assets exceed current liabilities by ~2.6 times, demonstrating adequate short-term liquidity to meet obligations. The net working capital position is positive, suggesting sufficient operational cash flow buffer. However, detailed cash flow statements are not available, typical for micro-entities, so ongoing monitoring of cash conversion cycles and receivables management is advised. The company employs only one staff member, which keeps fixed costs low, supporting cash flow stability.

4. Monitoring Points:

• Trading performance and revenue growth as the company develops beyond its first year.
• Maintenance of positive working capital and liquidity as operational scale increases.
• Any additional debt or credit facilities taken on and their servicing ability.
• Governance and financial controls under sole director ownership, ensuring transparency and risk mitigation.
• Timely filing of future accounts and confirmation statements to avoid compliance risk.