NITARA TECHNOLOGIES LTD

Executive Summary

Nitara Technologies Ltd is a start-up consultancy with limited financial history and a very modest capital base. Current financials show slight liquidity pressure due to tax liabilities exceeding cash balances and negative working capital. Credit exposure should be limited and closely monitored until the company demonstrates sustainable cash flow and stronger equity.

NITARA TECHNOLOGIES LTD - Analysis Report

Company Number: 15112444

Analysis Date: 2025-07-29 20:41 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Nitara Technologies Ltd is a newly incorporated private limited company (established in 2023) operating in management consultancy (SIC 70229). The company shows minimal trading history with only one year of accounts filed. The financials reflect a small scale operation with net current liabilities of £2,590 and shareholders’ funds of £253, indicating a very thin equity base. Cash available (£32,834) is slightly less than current liabilities (£35,424), principally tax and social security obligations. The limited trading history and marginal working capital position imply a higher risk profile. Credit approval could be considered conditionally, with limits on exposure and strong monitoring of cash flow and receivables until financial stability improves.

2. Financial Strength:
   The balance sheet shows very limited fixed assets (£2,843 net of depreciation) and a small cash balance. Current liabilities exceed current assets, resulting in negative net current assets. Share capital is nominal (£5), and retained earnings are minimal (£248). The company’s equity base is effectively negligible, reflecting early-stage capitalisation and limited profitability history. The absence of long-term debt is a positive, but the company currently has no buffer to absorb adverse trading fluctuations.

3. Cash Flow Assessment:
   Cash of £32,834 is insufficient to fully cover current liabilities of £35,424, which relate primarily to taxation and social security. Negative net current assets suggest potential liquidity constraints if cash inflows are delayed or if tax liabilities increase. The company must maintain tight control over working capital and ensure timely collection of receivables. The small scale and single employee indicate low operating overheads, which somewhat mitigates cash flow risk but also reflects limited operational scale.

4. Monitoring Points:

• Progress in building positive net current assets and strengthening shareholders’ funds.
• Timely settlement of tax and social security liabilities to avoid penalties or enforcement action.
• Cash flow trends and any material changes in liquidity position.
• Revenue growth trajectory and profitability development in subsequent accounts.
• Any changes in directors or significant control that might affect company governance or financial strategy.