ONSLOW CONSULTING LIMITED

Executive Summary

ONSLOW CONSULTING LIMITED is currently in a weak financial position with significant losses and negative net assets, resulting in poor liquidity and negative working capital. The company's ability to meet short-term liabilities and service debt is doubtful, leading to a recommendation to decline credit facilities at this stage. Close monitoring of cash flow and financial restructuring efforts would be essential if credit risk were to be reassessed in the future.

ONSLOW CONSULTING LIMITED - Analysis Report

Company Number: 14385783

Analysis Date: 2025-07-29 12:24 UTC

1. Credit Opinion: DECLINE
   ONSLOW CONSULTING LIMITED demonstrates a deteriorating financial position with net liabilities of £9,488 as at 30 September 2024, compared to net assets of £240 the prior year. The company reported a significant loss of £9,728 for the period, eroding shareholder funds and resulting in negative working capital. Current liabilities of £10,532 far exceed current assets of £1,044, indicating poor short-term liquidity and potential difficulty in meeting obligations on time. The absence of tangible fixed assets limits collateral value. Given these factors, the company’s ability to service debt or credit facilities appears weak and credit risk is elevated.

2. Financial Strength:
   The balance sheet reveals a negative net asset position and negative working capital. The company’s retained earnings declined substantially due to losses, offsetting the small share capital of £1. No long-term liabilities are reported, but the current liability burden is high relative to assets, suggesting reliance on short-term creditors and possible cash flow stress. The lack of fixed assets means limited security for lending. Overall, financial strength is poor and declining.

3. Cash Flow Assessment:
   Cash decreased sharply from £8,360 to £794 over the year, highlighting cash burn. Debtors are minimal (£250) and unlikely to provide meaningful liquidity support. Current liabilities increased by over £2,400, mainly tax and social security obligations, which the company may struggle to pay promptly given the cash position. Negative net current assets of nearly £9,500 confirm insufficient working capital to cover short-term debts, raising concerns over liquidity and going concern.

4. Monitoring Points:

• Track monthly cash flow and liquidity ratios closely to assess ongoing ability to meet short-term obligations.
• Monitor reductions in current liabilities and improvements in working capital to evaluate financial recovery.
• Watch profitability trends and any capital injections or restructuring plans from the director/owner.
• Review any changes in director or shareholder funding or new credit facilities that might improve liquidity.