Company Number: 13051430

Analysis Date: 2025-07-20 13:11 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   NORA COFFEE LTD shows a mixed financial profile. While the company is currently active with no overdue filings and has improved its net asset position significantly in the latest year, its liquidity has fluctuated notably over the past three years, reflecting some volatility in working capital management. The director holds complete control, and there is no indication of adverse management conduct. Given the micro-entity status and modest scale, the company could service modest credit facilities but should be monitored closely for cash flow consistency.

2. Financial Strength:
   The balance sheet at 31 October 2024 shows net assets of £33,241, up from £953 the previous year, indicating a recovery in financial position and improved equity base. Fixed assets increased moderately from £1,654 to £4,468, suggesting some investment in long-term assets. Current assets rose slightly to £96,642, while current liabilities fell to £67,869 from £88,673. The company’s net current assets improved to £28,773, reversing prior years’ current liabilities exceeding current assets. Overall, the company has moved from a weak net asset position to a modestly positive one, which improves its solvency profile.

3. Cash Flow Assessment:
   The significant swing in net current assets from negative (£701) in 2023 to positive (£28,773) in 2024 reflects better short-term liquidity and working capital management. Current assets are sufficiently higher than current liabilities, providing a buffer for operational expenses and creditor payments. However, the relatively high current liabilities (£67,869) compared to the scale of the business warrant careful monitoring. No detailed cash flow statement is provided, but the improved working capital suggests recent operational cash inflows have strengthened liquidity.

4. Monitoring Points:

• Maintain and monitor the positive net current assets to avoid liquidity stress.
• Track the company’s ability to sustain or grow revenues in the unlicensed café and retail sectors, which can be sensitive to economic fluctuations.
• Watch for any significant increases in current liabilities or delays in payments that could erode the improved liquidity position.
• Monitor director’s continued involvement and financial stewardship since sole control rests with one individual.
• Review future filings for consistency in improving profitability and cash generation.