Company Number: 14785478

Analysis Date: 2025-07-20 12:41 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Qubeta UK Limited is a newly incorporated micro-entity (since April 2023) operating in retail mail order and wholesale office furniture. The company shows positive net current assets (£2,559) as of June 2024, indicating that short-term liabilities are covered by current assets, though the margin is modest. As a micro-category company with only 2 employees, financial scale and operating history are limited, which poses some risk. The directors’ control is well-defined, with no adverse records. Given the early stage and limited financial data, credit approval should be conditional on monitoring future trading results and cash flow stability.

2. Financial Strength:
   The company’s balance sheet is very lean, with total net assets of £2,559 as at June 2024, up from £100 the prior year. Current assets increased substantially from £100 to £14,435, but current liabilities also grew to £11,876, resulting in a small positive working capital position. The small equity base reflects early stage funding. No fixed assets or long-term liabilities are disclosed, which simplifies the balance sheet but limits asset backing for credit. Overall, the financial strength is modest and typical for a young micro-entity.

3. Cash Flow Assessment:
   Cash reported in prior year was minimal (£100), and current asset classification suggests some cash or receivables but no detailed cash flow data is available. The working capital position is positive but narrow, implying limited liquidity cushion. The company employs only two people, keeping overheads low. Without profit and loss details, assessing operational cash generation is not possible, heightening the importance of close cash flow monitoring. The absence of audit and limited disclosures increase uncertainty around liquidity.

4. Monitoring Points:

• Quarterly review of cash balances and working capital to detect liquidity stress early.
• Filing of next annual accounts for updated profit and loss details and cash flow statements.
• Watch for growth in current liabilities outpacing current assets which might signal cash flow issues.
• Monitor director and shareholder changes or any adverse credit events.
• Assess impact of trade sector risks (retail mail order and wholesale furniture) on revenue stability.