Company Number: 13547655

Analysis Date: 2025-07-29 19:01 UTC

1. Credit Opinion: APPROVE
   Priashtha Limited shows an improving financial position with increasing net current assets and shareholders' funds over the last two years. The company is a micro-entity operating a specialist medical practice, with stable management by two directors who also hold significant control. There is no indication of overdue filings or legal concerns. The directors have demonstrated financial stewardship by repaying director loans promptly, which supports creditworthiness. However, given the company's young age (incorporated in 2021) and relatively small scale, approval is recommended with a standard credit limit reflecting its size and sector risk.

2. Financial Strength:
   The balance sheet demonstrates growth and strengthening from 2022 to 2024:

• Fixed assets increased slightly to £2,015, indicating some investment in equipment or property.
• Current assets rose significantly from £61,706 in 2023 to £125,936 in 2024.
• Current liabilities increased moderately from £55,988 to £64,984, but net current assets improved markedly from £5,718 to £60,952.
• Shareholders' funds grew from £5,718 to £62,967, reflecting accumulated retained earnings or capital injections.
  The company appears solvent with a solid equity base relative to current liabilities, indicating a strong financial footing for a micro-entity.

3. Cash Flow Assessment:
   Positive net current assets (£60,952) indicate adequate working capital to meet short-term obligations. The increase in current assets, particularly cash or receivables, suggests healthy liquidity. The repayment of director loans (£30,616) reinforces cash management discipline. The company employs 2 staff, which implies manageable payroll obligations. No audit exemption and timely filings add confidence in the accuracy of reported financials. Overall, the company has sufficient liquidity to service debt and operational expenses.

4. Monitoring Points:

• Continued growth in turnover and profitability to sustain and improve net asset position.
• Management of current liabilities to avoid undue pressure on working capital.
• Cash flow trends, especially receivables collection and any director loans or related party transactions.
• Any changes in healthcare regulations or market conditions impacting specialist medical practices.
• Ongoing compliance with filing deadlines and absence of adverse director conduct.