Company Number: 12688546

Analysis Date: 2025-07-20 14:58 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   OWZELL LIMITED is a micro-entity with a modest balance sheet and no employees, indicating a small-scale operation likely dependent on director involvement. The company has remained active and compliant with filing requirements. However, the fluctuating net current assets and net liabilities in previous years suggest some financial instability. The positive net current assets position in 2024 (£263) after prior negative figures shows some improvement, but the low absolute values reflect limited financial buffer. Given the small size and limited financial strength, credit exposure should be limited and potentially secured or supported by director guarantees.

2. Financial Strength:

• The company’s net assets are positive at £263 in 2024, reversing significant negative shareholder funds in 2023 (-£1,356).
• Current assets are stable around £600, while current liabilities declined sharply from £1,421 in 2023 to £347 in 2024.
• The balance sheet shows no long-term liabilities or provisions, indicating no major off-balance-sheet risks.
• The small share capital (£100) and micro-entity status limit scale but reduce complexity.
• Overall, financial strength is weak but shows signs of improvement with controlled liabilities.

3. Cash Flow Assessment:

• Limited data on cash flow is available, but current assets exceeding current liabilities by £263 indicates positive working capital, though modest.
• Absence of employees reduces wage-related cash outflows but also implies limited operational capacity.
• The volatility in current liabilities in prior years suggests some risk of liquidity crunch but recent figures are more stable.
• The company’s ability to meet short-term obligations currently seems adequate but closely matched to asset levels.

4. Monitoring Points:

• Monitor quarterly or annual updates on current liabilities to detect any resurgence of high short-term debts.
• Track net current asset position to ensure continued positive working capital.
• Watch for any changes in director appointments or personal guarantees, especially since the two directors have significant control and are key to operations.
• Review any forthcoming filings for evidence of revenue growth or increased liabilities, given the micro-entity scale and limited operational data.