Company Number: 13538360

Analysis Date: 2025-07-29 18:26 UTC

1. Credit Opinion: DECLINE
   RAY VALLEY LTD operates in hospital activities but shows minimal financial activity and no employees, which raises concerns about operational viability. The company’s net assets have declined from £3,841 in 2021 to £1,500 in 2024, indicating a shrinking capital base. The absence of profitability data and reliance on micro-entity filings limit insight into earnings capacity. Given the low asset base, lack of workforce, and no audit or detailed profit and loss disclosure, the company’s ability to meet debt obligations appears uncertain. Hence, credit facilities are not recommended at this stage.

2. Financial Strength:
   The balance sheet shows a very small fixed asset base (£233 in 2024) and current assets of £1,267, with no current liabilities reported in recent years, resulting in positive but modest net current assets. Shareholders’ funds have decreased steadily, indicating possible erosion of retained earnings or capital withdrawals. The company is in the micro-category with minimal financial scale, which inherently limits financial resilience.

3. Cash Flow Assessment:
   Current assets have significantly reduced from £4,742 in 2021 to £1,267 in 2024, signaling potential liquidity tightening. Without reported current liabilities, working capital remains positive but at a low level. The lack of employees and profit and loss data restricts assessment of operating cash flow generation. Overall, liquidity appears constrained, and cash flow sustainability is uncertain.

4. Monitoring Points:

• Track cash and current asset levels closely to detect further liquidity deterioration.
• Monitor any changes in liabilities or emerging debt obligations.
• Review any forthcoming detailed financial disclosures or profit and loss accounts to assess earnings capability.
• Evaluate any operational developments such as hiring or asset acquisitions that may signal growth or increased risk.
• Watch for changes in director or ownership that might impact governance or financial controls.