PCJ ECO PACKAGING LTD

Executive Summary

PCJ ECO PACKAGING LTD is a newly formed micro-entity operating in packaging activities, currently solvent but with a narrow working capital buffer. The company shows compliance with filing requirements and modest asset growth, but limited financial history and tight liquidity margins warrant cautious monitoring. Investors should conduct further due diligence on cash flow and liabilities to fully assess operational stability and risk exposure.

PCJ ECO PACKAGING LTD - Analysis Report

Company Number: 13971288

Analysis Date: 2025-07-29 20:18 UTC

1. Risk Rating: MEDIUM
   PCJ ECO PACKAGING LTD demonstrates solvency with net current assets of £10,671 as of March 2024. However, the margin between current assets and liabilities is narrow, and the company is newly established (incorporated 2022) with limited financial history, which increases uncertainty. The micro-entity status and size also limit available financial detail.

2. Key Concerns:

• Thin Working Capital Buffer: Current liabilities (£151,860) are close to current assets (£162,531), resulting in a modest net current asset position (£10,671). This tight liquidity margin could strain cash flow if receivables are delayed or unexpected expenses arise.
• Limited Financial History: Only two full years of financial data are available (2023 and 2024), with significantly increased liabilities in the latest year. The lack of longer-term performance trends limits assessment of operational stability.
• Small Scale and Micro-Entity Filing: The company qualifies as a micro-entity with minimal reporting requirements, restricting transparency. This makes it necessary to rely on limited data and director disclosures.

3. Positive Indicators:

• Current Compliance Status: No overdue filings for accounts or confirmation statements, indicating good regulatory compliance so far.
• Positive Net Assets: Despite being a young company, net assets increased from £100 in 2023 to £10,671 in 2024, showing initial growth.
• Stable Workforce: The average number of employees remained steady at 3, suggesting operational continuity.

4. Due Diligence Notes:

• Verify the nature and terms of the current liabilities to understand liquidity risk more fully, including payment schedules and creditor relationships.
• Assess cash flow patterns and receivables turnover to confirm that working capital is sufficient to support ongoing operations.
• Investigate the business model and customer base in the packaging activities sector to evaluate sustainability and growth prospects.
• Confirm no director disqualifications or governance issues beyond the data provided.
• Review subsequent filings and any management commentary beyond micro-entity accounts for additional context.