OAS & ASSOCIATES LIMITED

Executive Summary

OAS & ASSOCIATES LIMITED exhibits a weak financial profile characterized by persistent negative net assets and inadequate liquidity to cover short-term liabilities. The company’s micro-entity status, absence of employees, and negligible current assets indicate limited operational and financial capacity. Consequently, the risk of default is high, leading to a credit decline recommendation.

OAS & ASSOCIATES LIMITED - Analysis Report

Company Number: SC669108

Analysis Date: 2025-07-20 13:29 UTC

1. Credit Opinion: DECLINE. OAS & ASSOCIATES LIMITED demonstrates a persistent negative net asset position (net liabilities of approximately £6,462 as of 2024), indicating that current liabilities significantly exceed current assets. The company’s inability to generate positive working capital and its micro-entity scale with no employees suggest limited operational capacity and financial resilience. Without evidence of revenue generation, cash inflows, or asset backing, the risk of default on any credit facility is high.

2. Financial Strength: The balance sheet shows extremely weak financial strength. Current assets remain negligible at £1, while current liabilities have increased slightly to £6,463, resulting in negative net current assets (working capital) of -£6,462. The company has no fixed assets or reported investments to offset liabilities, and shareholders’ funds are negative, reflecting accumulated losses or creditor claims exceeding assets. This indicates undercapitalization and poor financial footing.

3. Cash Flow Assessment: The minimal current asset value (effectively cash or receivables) of £1 against substantial current liabilities indicates severe liquidity constraints. The company has no employees and likely minimal operational activity, which raises concerns about its ability to generate operating cash flows to meet short-term obligations. Working capital is deeply negative and shows no signs of improvement over recent years.

4. Monitoring Points:

• Monitor changes in current liabilities and any efforts to reduce creditor balances.
• Watch for improvements in current assets or capital injections to restore positive net assets.
• Track any filing of audited or more detailed financial statements for revenue or profitability data.
• Observe director appointments or changes that might signal restructuring or strategic shifts.
• Review any notices of insolvency or administration given the ongoing negative equity.