OO&E LTD

Executive Summary

OO&E LTD is an early-stage micro-entity with negative net assets and no operational track record, indicating weak financial strength and uncertain debt servicing capacity. The company’s limited asset base and presence of long-term liabilities suggest high credit risk at this time. Without significant capital injection or evidence of positive trading, extending credit is not advisable currently.

OO&E LTD - Analysis Report

Company Number: 15350080

Analysis Date: 2025-07-29 20:24 UTC

1. Credit Opinion: DECLINE
   OO&E LTD is a recently incorporated micro-entity with very limited financial history and no employees. The latest accounts show a net current asset figure of £1,698 but report creditors falling due after more than one year of £3,655, leaving net assets and shareholders' funds negative at £-1,957. This suggests the company is currently undercapitalized and has liabilities exceeding its assets, indicating weak financial strength. Given the absence of trading history, minimal asset base, and negative equity, the company’s ability to service debt or meet financial obligations is questionable at this stage. Without evidence of positive cash flow generation or capital injection, offering credit would pose a high risk.

2. Financial Strength:
   The balance sheet reflects a fragile position. Current assets are minimal (£1,698), and current liabilities exceed this, but the accounts show net current assets as positive £1,698, likely due to classification issues or timing. More critically, creditors due after one year of £3,655 push the total net assets into a deficit of £-1,957. No fixed assets or tangible assets are reported. Negative equity indicates the company is not yet financially stable, possibly reliant on owner funding. No retained earnings exist, and the company operates with no employees, reflecting a startup phase with limited operational scale.

3. Cash Flow Assessment:
   There is no direct cash flow statement available, but the minimal current assets and presence of long-term creditors suggest tight liquidity. The company has no employees, implying low operating costs, but the negative net asset position and outstanding liabilities raise concerns about working capital adequacy. The absence of disclosed cash reserves or receivables implies limited liquidity buffers. Without operating cash flows or evidence of capital injections, liquidity risk is high.

4. Monitoring Points:

• Monitor future filings for evidence of revenue generation and profitability.
• Watch for capital injections or changes in equity to improve net asset position.
• Track payment of creditors and reduction of long-term liabilities.
• Review cash flow statements (when available) to assess operational liquidity.
• Observe any changes in management or ownership structure that could affect financial stewardship.