Company Number: 14569333

Analysis Date: 2025-07-20 12:35 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   OPW Advisory Services Ltd is a newly incorporated management consultancy with limited financial history and a small net asset base of £198 as at 31 March 2024. The company shows positive net current assets but minimal equity, indicating a very modest capital base. The low cash balance (£1,813) relative to current liabilities (£4,918) may pose short-term liquidity risks. However, it currently has no overdue filings or adverse legal status, and directors have professional financial planning backgrounds. Credit approval is recommended with conditions: close monitoring of liquidity, receivables collection, and further financial data as trading progresses.

2. Financial Strength:
   The balance sheet reveals current assets of £5,116 primarily composed of debtors (£3,303) and cash (£1,813) against current liabilities of £4,918, yielding a small positive working capital of £198. Shareholders’ funds are minimal at £198, reflecting the company’s early stage. Absence of fixed assets and reliance on amounts owed by associates suggest limited operational scale and asset backing. The capital structure is weak, with only £3 in issued share capital, indicating limited buffer to absorb financial stress.

3. Cash Flow Assessment:
   Cash on hand is low, and given current liabilities are mostly tax-related (£4,918), the company’s ability to meet obligations depends on timely collection of debtor balances or additional funding. The lack of employees and fixed assets suggests low overhead but also limited cash generation capacity at this point. Cash flow risk is notable until the company can demonstrate stable revenue inflows and build reserves. No historical profit and loss data is available to assess operating cash flows.

4. Monitoring Points:

• Liquidity trends: Monitor cash balances and debtor aging closely.
• Timely settlement of tax liabilities to avoid penalties or enforcement action.
• Progress in revenue generation and profitability to strengthen equity base.
• Any increase in borrowings or expansion of liabilities should be reviewed carefully.
• Directors’ ongoing involvement and financial stewardship given they have relevant financial planning expertise.
• Confirmation of no related party transaction risks given significant debtor balances owed by associates.