Company Number: 13251729

Analysis Date: 2025-07-20 18:05 UTC

1. Credit Opinion: DECLINE
   OLYA RESOURCES LTD shows a persistently negative net asset position over the last three years, with net liabilities increasing from -£26,700 in 2021 to -£112,461 in 2024. The company has no recorded turnover and consistently negative working capital, indicating an inability to generate operational cash flow or meet short-term obligations. The total liabilities due after one year are substantial (£72,800), with no fixed assets to offset these. Given these factors, the company lacks financial stability and capacity to service additional debt or credit facilities without material improvement in trading performance.

2. Financial Strength:
   The balance sheet reveals weak financial health. The company has no fixed or current assets reported and carries increasing creditor balances both short and long term. Shareholders’ funds are deeply negative, reflecting accumulated losses and an erosion of capital. This erosion is a critical risk factor, as it implies that creditors are effectively unsecured and the company operates with negative equity. The micro-entity exemption limits disclosure but does not mask the fundamental solvency issues evident.

3. Cash Flow Assessment:
   No turnover or current assets are reported, while current liabilities are significant and increasing (£72,800 due after one year, £39,661 due within one year). Net current liabilities of £39,661 indicate working capital deficits, implying ongoing liquidity stress. The lack of reported cash or debtors suggests minimal cash inflows. The company’s ability to meet upcoming payment obligations or service debt is doubtful without external capital injection or a turnaround in operations.

4. Monitoring Points:

• Turnover and profitability trends: Watch for any filing that records revenue generation or profit improvement.
• Cash and current asset levels: Any improvement in liquidity will be a positive signal.
• Changes in creditors and liabilities: Increasing liabilities without corresponding asset growth is a red flag.
• Director actions: Given the sole director’s control and negative financial position, monitor for any restructuring or capital injection plans.
• Filing timeliness and completeness: Continued compliance with filing requirements is essential to maintain transparency.