PI CONSULTING (NEWARK) LTD

Executive Summary

PI CONSULTING (NEWARK) LTD shows a solid financial position with improving net assets and strong liquidity, supported by prudent working capital management. The company’s micro-entity status and stable director leadership suggest manageable credit risk. Approval of credit facilities is recommended with routine monitoring of cash flow and liability levels.

PI CONSULTING (NEWARK) LTD - Analysis Report

Company Number: 13142115

Analysis Date: 2025-07-20 18:16 UTC

1. Credit Opinion: APPROVE
   PI CONSULTING (NEWARK) LTD demonstrates a stable and improving financial position with consistent net asset growth and positive working capital. The company is small, with micro-entity accounting, and has no indications of financial distress or overdue filings. The director appears to have relevant industry experience. Given the company's sound balance sheet and liquidity, it is creditworthy for typical SME credit facilities without additional conditions.

2. Financial Strength:

• The company’s net assets increased from £16,189 in 2024 to £19,176 in 2025, indicating retained profitability and capital growth.
• Fixed assets decreased slightly from £12,193 to £9,754, but this is offset by an improvement in net current assets from £6,643 to £12,456, reflecting better short-term financial health.
• Long-term liabilities are modest (£1,834), and total liabilities are well covered by assets.
• The company’s shareholders’ funds represent a solid equity base relative to its size.

3. Cash Flow Assessment:

• Current assets (£20,785) exceed current liabilities (£8,329) by a healthy margin, giving a current ratio of approximately 2.5 times, which suggests good liquidity and ability to meet short-term obligations.
• The increase in net current assets year-on-year signals improved working capital management.
• The business employs only one person, indicating low overhead and cost structure, supporting cash flow stability.

4. Monitoring Points:

• Maintain oversight on trade receivables and payables turnover to ensure working capital remains positive and cash flow stable.
• Monitor any changes in long-term liabilities to avoid over-leverage.
• Keep track of operational profitability trends as revenue and profit data become available to confirm ongoing financial health.
• Review director’s continued engagement and industry experience as it influences business resilience.