RANT AGENCY LIMITED
Company number 06157264 · Monitor this company
This analysis was written by an AI from the company's public filings. It may contain errors or omissions and is not financial or professional advice.
Credit Analysis: RANT AGENCY LIMITED
1. Credit Opinion: DECLINE
This application must be declined. The company is recorded as Dissolved with a dissolution date of 08/08/2026. A dissolved entity cannot enter into new credit facilities, service debt, or honor commercial agreements. Any credit exposure would be irrecoverable as the company has no legal standing to operate or contract.
Even setting aside the dissolution status, the financial trajectory is deeply concerning and would warrant a conditional or decline rating on its own merits.
2. Financial Strength
Severe deterioration in balance sheet health over the reporting period.
| Metric | 2024 | 2023 | Change |
|---|---|---|---|
| Net Assets | £33,824 | £173,244 | -80.5% |
| Shareholders' Funds | £33,824 | £173,244 | -80.5% |
| Total Assets | £286,547 | £486,517 | -41.1% |
| Cash | £37,602 | £167,172 | -77.5% |
The retained earnings have fallen by approximately £139,400, indicating a substantial loss in FY24. No profit & loss account is filed (small company exemption), but the equity erosion tells a clear story of trading difficulties.
Leverage concerns: - Total debt (bank loans + overdrafts): approximately £148,500 - Net assets of only £33,824 provide minimal cushion - Debt-to-equity ratio has deteriorated significantly - The company carried negative net assets as recently as FY21 (£-42,715), suggesting a pattern of financial instability
Intangible assets of £26,057 (goodwill and development costs) offer limited realisable value in a distress scenario.
3. Cash Flow Assessment
Liquidity position has weakened materially.
- Current ratio: 1.52x (£234,102 / £154,436) — adequate but declining
- Cash position: £37,602 represents just 24% of prior year's £167,172
- Bank overdraft: £71,900 (current) — indicates reliance on short-term borrowing facilities
Working capital concerns: - Trade debtors fell from £247,052 to £109,332 — may indicate revenue contraction or aggressive collections - New "amounts recoverable on contracts" of £78,432 — unclear recoverability - Trade creditors reduced from £12,930 to £7,303 — could signal reduced trading activity - VAT creditor of £38,272 suggests potential cash flow pressure on tax obligations
Long-term liabilities of £93,273 (bank loans £76,611 + other loans £16,662) represent significant ongoing commitment relative to the depleted equity base.
Director advances: £65,903 advanced to Mr Faulconbridge during the year (substantially repaid), but this activity alongside the registered office move to Grant Thornton (an advisory/insolvency practice) is concerning.
4. Monitoring Points
If any existing exposure exists (which should be reviewed immediately):
- Dissolution status — Confirm whether this is voluntary strike-off or compulsory. The registered office moving to Grant Thornton UK Advisory & Tax LLP strongly suggests professional insolvency advice is being sought
- Revenue trajectory — Trade debtor decline and cash depletion suggest significant turnover contraction
- Related party exposure — Outstanding balance with Rantmedia Games Ltd (associated company) requires monitoring for preferential transactions
- Tax liabilities — VAT and social security creditors totaling £64,196 represent priority claims that could precipitate enforcement action
- Covenant compliance — If any facilities exist, review immediately for breach triggers given equity erosion