Company Number: 14534257

Analysis Date: 2025-07-20 11:24 UTC

1. Credit Opinion: DECLINE
   NORBERGSBY LIMITED, incorporated in December 2022, presents a weak credit profile based on its most recent accounts for the year ended 31 December 2023. The company shows net liabilities of £38,526 and significant net current liabilities of £104,401, indicating an inability to cover short-term debts with current assets. The directors’ report explicitly states reliance on creditors for continued trading, highlighting a going concern risk. Given the absence of profitability, negative equity, and poor liquidity, the company lacks financial capacity to service new credit or loans without substantial external support or capital injection.

2. Financial Strength:
   The balance sheet is fragile with fixed assets valued at £65,875 offset by current liabilities of £105,151 and minimal current assets (£750 cash). The net asset position is negative (£38,526), implying shareholders’ funds are eroded. The company operates in the real estate buying and selling sector (SIC 68100), which typically requires strong capital backing. Negative equity and net current liability position indicate insolvency risks if liabilities crystallize. No evidence of retained earnings or reserves to absorb losses exists.

3. Cash Flow Assessment:
   Operating cash flow appears severely constrained, with only £750 in cash available against substantial current liabilities exceeding £105k. The working capital deficit (-£104,401) signals an inability to meet short-term obligations without refinancing or cash injections. The company's statement of reliance on creditors confirms liquidity pressure. There is no indication of revenue or profit generation in the accounts to improve cash flow prospects. This constrained liquidity undermines operational resilience and repayment ability.

4. Monitoring Points:

• Monitor cash flow improvements and any capital injections or loans that reduce net current liabilities.
• Track turnaround in profitability or evidence of sustainable revenue generation.
• Review changes in director appointments and control structure for management stability.
• Watch for overdue filings or signs of administration/liquidation proceedings.
• Assess any external guarantees or asset valuations that could improve security for lenders.