Company Number: 13827998

Analysis Date: 2025-07-29 18:00 UTC

1. Credit Opinion: DECLINE
   Premier Windows Yorks Ltd presents a concerning credit profile. The company’s net assets are negative, showing a deterioration from -£422 in 2024 to -£1,657 in 2025, indicating erosion of equity and financial weakness. Current liabilities substantially exceed current assets, resulting in a deeply negative net working capital position of approximately -£83,671. This suggests liquidity pressure and an inability to comfortably cover short-term obligations. The company is micro-sized with minimal financial data, and there is no audit performed, limiting transparency. Given the negative net assets, poor liquidity, and minimal cash reserves, the company currently lacks sufficient financial strength to reliably service debt or credit facilities without significant risk.

2. Financial Strength:
   The balance sheet shows fixed assets of £82,014 against current liabilities of £108,228; current assets are only £24,557. This imbalance leads to a negative net current asset figure (working capital) of -£83,671, indicating that the company is reliant on external funding or creditors to meet short-term liabilities. The net asset position is negative (£ -1,657), signaling that total liabilities exceed total assets, which undermines solvency. The company’s financial trajectory is declining, with a worsening net asset position over the past two years. The small scale (micro-entity) limits financial flexibility, and the absence of an audit reduces assurance on financial accuracy.

3. Cash Flow Assessment:
   Cash on hand is minimal (£755 as of 2024), and debtors are low (£312), which, combined with high current liabilities, suggests the company may struggle to generate sufficient operating cash flow to meet immediate obligations. Negative working capital indicates a potential ongoing cash flow deficit. The company employs 4 staff, which suggests fixed costs exist, but there is no detailed P&L data to assess profitability or operational cash inflows. Overall, liquidity risk is elevated, and the company’s capacity to meet short-term debts or loan repayments without additional capital injections is questionable.

4. Monitoring Points:

• Net Current Assets: Watch if working capital improves or further deteriorates.
• Net Asset Position: Monitor for movement towards positive equity to ensure solvency.
• Cash Balances and Debtor Turnover: Assess whether cash generation improves to mitigate liquidity risk.
• Director and Shareholder Changes: Recent director appointment and full share control by Mr. Musaddique Raza Khan-Hussain require monitoring for governance stability.
• Filing Timeliness and Compliance: The company is currently up to date, but ongoing adherence to filing deadlines is critical for transparency.
• Profitability and Cash Flow Statements (when available): To better assess operational viability and debt servicing capacity.