OPAS GUIDES LIMITED

Executive Summary

OPAS GUIDES LIMITED is a newly established micro-entity in medical instrument manufacturing showing early signs of financial improvement with a positive net asset position after one full accounting year. However, limited scale, modest liquidity, and recent director resignations necessitate a cautious credit approach. Conditional approval is recommended pending receipt of updated trading and management information to confirm ongoing viability and repayment capability.

OPAS GUIDES LIMITED - Analysis Report

Company Number: 14232634

Analysis Date: 2025-07-29 19:53 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   OPAS GUIDES LIMITED is a very young company (incorporated mid-2022) operating in the manufacture of medical and dental instruments. The latest filed accounts show progression from a negative net asset position at 2023 year-end to a positive equity of £1,455 at July 2024, indicating improving financial health. However, the company’s current liabilities remain high relative to current assets, with a modest net working capital (£477) and limited cash reserves (£3,121). No turnover or profit figures are disclosed, and the company has no employees, which may suggest limited operational scale or outsourcing. The two original directors resigned in August 2023, replaced by new management details not provided, raising some governance questions. Given these factors, credit approval should be conditional on obtaining updated management information including trading performance, cash flow forecasts, and confirmation of current directors and operational status to ensure ongoing viability and repayment capacity.

2. Financial Strength:
   The balance sheet shows a tangible fixed asset base of £978 (likely machinery or equipment) and current assets of £5,799, comprising £3,121 cash and £2,678 debtors. Current liabilities are £5,322, mainly other creditors (£5,151) and tax/social security (£171). The company has moved from net current liabilities of £532 in 2023 to a positive net current asset position of £477 in 2024, reflecting some improvement in liquidity and creditor management. Shareholders’ funds are positive at £1,455, up from a deficit of £536, indicating retained earnings or capital injections. Share capital is minimal (£2). The company qualifies as a micro entity and has taken advantage of exemption from audit, limiting transparency. Overall, the financial strength is weak but improving, with a tight but positive equity base and manageable asset levels against current liabilities.

3. Cash Flow Assessment:
   Cash at bank increased by £848 from prior year, suggesting some positive cash generation or financing. Debtors have doubled, which may indicate rising sales or extended credit terms. Current liabilities increased by £1,159, which could point to increased supplier credit or delayed payments. Net working capital is positive but small, indicating limited cushion to meet short-term obligations. No employee costs are reported, which may reduce cash burn but also limits business scale. The absence of reported turnover and profit details constrains full cash flow analysis. Liquidity is fragile, and the company may face cash flow stress under adverse trading conditions without additional capital or improved debtor collection.

4. Monitoring Points:

• Management and governance: confirm current directors, management capability, and operational control post-2023 resignations.
• Trading performance: obtain detailed turnover, margin, and profit & loss data to assess sustainability.
• Cash flow trends: monitor debtor aging, creditor payment terms, and cash balances quarterly.
• Working capital management: watch for debtor collection delays or creditor pressure that may erode liquidity.
• Capital structure: assess need for further shareholder funds or external financing if growth requires investment.
• Compliance: ensure timely filing of annual returns and accounts to avoid penalties and maintain transparency.