OXY INVESTMENTS LIMITED

Executive Summary

Oxy Investments Limited maintains a low-risk profile supported by positive net assets and current regulatory compliance. However, liquidity concerns arise from a substantial debtor balance and reduced cash reserves, warranting further review. The company’s limited operating history constrains long-term stability assessment but owner control is a positive governance factor.

OXY INVESTMENTS LIMITED - Analysis Report

Company Number: 13262157

Analysis Date: 2025-07-20 17:27 UTC

1. Risk Rating: LOW
   Oxy Investments Limited demonstrates a solid net asset position with positive net current assets and no overdue filings. The company shows growth in shareholder funds and current assets with no indications of distress or compliance issues.

2. Key Concerns:

• Reliance on Debtors: A significant portion of current assets (over £51k in 2024) are debtors, which could present liquidity risk if collections slow.
• Low Cash Reserves: Cash balance decreased considerably from £36k in 2023 to £4.8k in 2024, which may impact short-term liquidity despite overall net current assets remaining positive.
• Limited Financial History: Incorporated in 2021 with only three years of accounts limits visibility on long-term operational stability and trend analysis.

3. Positive Indicators:

• Positive Net Current Assets and Net Assets: Consistent improvement from negative net assets at incorporation to £37k net assets in 2024 reflects growing equity and financial health.
• No Overdue Filings: Both accounts and confirmation statements are up to date, indicating good regulatory compliance and governance.
• Owner-Managed with Full Control: The sole director and 75-100% shareholder provides clear accountability and control over company decisions.

4. Due Diligence Notes:

• Review debtor aging and collectability to assess liquidity risk and ensure receivables are realizable in a timely manner.
• Investigate reasons for the large drop in cash balance between 2023 and 2024 and evaluate cash flow management practices.
• Examine the company’s business model and client base given its classification as management consultancy to assess operational sustainability and growth potential.
• Confirm no contingent liabilities or off-balance sheet commitments exist that could impact solvency.