PRAGMATIC PROCESS SOLUTIONS LIMITED

Executive Summary

Pragmatic Process Solutions Limited is a micro-entity IT consultancy showing improving net assets and strong working capital, reflecting prudent financial management. Given its positive liquidity and absence of financial stress indicators, it is suitable for credit approval for modest facilities. Continued monitoring of liquidity and operational performance is advised as the business develops.

PRAGMATIC PROCESS SOLUTIONS LIMITED - Analysis Report

Company Number: 14493063

Analysis Date: 2025-07-29 18:14 UTC

1. Credit Opinion: APPROVE
   Pragmatic Process Solutions Limited demonstrates a solid micro-entity financial profile with positive net assets and improving working capital. The company's active status, timely filing of accounts and confirmation statements, and absence of overdue filings indicate sound administrative discipline. Given the nature of IT consultancy (SIC 62020), the company is likely service-oriented with low capital intensity, reducing risk. The sole director appears to manage the business prudently, with no adverse director conduct records noted. While the company is relatively young (incorporated late 2022), the steady growth in net assets and current assets suggests emerging financial stability capable of servicing modest credit facilities.

2. Financial Strength:
   The company’s balance sheet at 30 November 2024 shows net assets of £45,642, up from £34,200 the prior year, reflecting retained earnings and modest asset growth. Fixed assets are minimal (£1,453), consistent with an IT consultancy operating with limited physical assets. Current assets increased to £81,710, primarily cash or receivables, while current liabilities rose to £37,487. The net current assets (working capital) improved to £44,223, demonstrating adequate short-term financial cushion. The capital and reserves account mirrors net assets, indicating no external debt or long-term liabilities. Overall, the balance sheet is conservative and healthy for a micro-entity.

3. Cash Flow Assessment:
   The company maintains a positive working capital position, with current assets more than double current liabilities, indicating good liquidity and ability to meet short-term obligations. Although detailed cash flow statements are not available, the increase in net current assets and net assets implies retained cash generated internally or through equity injections. The single employee structure and low fixed asset base suggest low operating overhead, which supports cash preservation. There is no indication of reliance on external borrowing or overdrafts, which reduces credit risk.

4. Monitoring Points:

• Continue monitoring net current assets to ensure ongoing liquidity, especially if business scale increases.
• Watch for any sudden growth in current liabilities or delays in account filings which might indicate operational or financial stress.
• Track revenue and profit trends as filed in future accounts to confirm business viability and debt servicing capability.
• Assess any change in director or ownership that might impact governance or financial management quality.