Company Number: 14942047

Analysis Date: 2025-07-29 17:10 UTC

1. Credit Opinion: APPROVE with conditions.
   OEM TECH LIMITED is a newly incorporated micro-entity with minimal trading history, showing modest net current assets of £100 and no liabilities beyond current creditors of £85. The company is active, compliant with filing deadlines, and controlled by a single director with 100% ownership, indicating straightforward governance. However, the very limited financial history and small asset base warrant credit limits aligned to a micro enterprise. Approval is recommended for low-value credit facilities with periodic review to monitor operational progress and financial performance.

2. Financial Strength:
   The balance sheet reflects a very small company with total net assets of £100 as at 30 June 2024. Current assets of £185 against current liabilities of £85 yield positive net working capital (£100), providing a basic buffer for short-term obligations. The absence of fixed assets and the minimal equity base suggest limited capital resources and a narrow financial cushion. The micro-entity status confirms the company operates on a small scale with a single employee (the director). Overall financial strength is weak but stable for the company size.

3. Cash Flow Assessment:
   With current assets largely composed of cash or equivalents, and low current liabilities, liquidity appears adequate to meet immediate obligations. The positive net current assets indicate that working capital management is sufficient at this early stage. However, given the small scale of operations, cash flow projections should be carefully monitored to ensure the company can sustain operating costs and meet any repayment schedules under credit facilities.

4. Monitoring Points:

• Track revenue generation and profitability trends as trading history develops.
• Monitor working capital fluctuations and cash flow sufficiency quarterly.
• Review director conduct and any changes in ownership or management that may affect control.
• Watch for any overdue filings or compliance issues that may indicate operational difficulties.
• Assess credit exposure regularly given the company’s limited asset base and early stage of development.