Company Number: 13166978

Analysis Date: 2025-07-20 17:05 UTC

1. Credit Opinion: DECLINE
   Remya Ltd exhibits significant financial distress characterized by persistent negative equity and net liabilities, with shareholders’ funds deteriorating from -£48k in 2023 to -£102k in 2024. The company’s current liabilities substantially exceed its current assets, resulting in a very weak working capital position and liquidity risk. Moreover, the absence of reported employees besides the director and no disclosed profit and loss statement limits visibility into operational cash flows. The high level of long-term creditors (£563k) against fixed assets of £760k raises concerns regarding asset coverage and creditor protection. Given these factors, the company is unlikely to meet debt servicing obligations without additional capital injection or restructuring.

2. Financial Strength:
   The balance sheet shows fixed assets valued at £759,831, which remain stable, but current assets are minimal at £6,702, while current liabilities stand at £562,967, producing a negative net working capital of approximately -£555k. The total liabilities exceed total assets, resulting in net liabilities of £102,300. The company’s micro-entity status and exemption from audit limit the depth of financial scrutiny, but the visible data points to weak capitalization and financial strain. The negative equity and ongoing erosion of shareholders’ funds suggest accumulated losses or debt financing beyond asset values.

3. Cash Flow Assessment:
   Current assets are insufficient to cover short-term liabilities, indicating poor liquidity and potential cash flow difficulties. The nearly negligible cash-like current assets and large creditors due within one year imply the company may struggle to meet immediate payment obligations. The lack of employees and no profit and loss disclosure prevent cash flow from operations analysis; however, the financial structure suggests reliance on external funding or deferral of liabilities. Without clear cash inflows, the company’s ability to sustain operations or repay debt is questionable.

4. Monitoring Points:

• Monitor any changes in current liabilities and creditor terms to assess liquidity risk improvement or deterioration.
• Watch for capital injections or equity increases that could improve shareholders’ funds and solvency.
• Review future filed accounts for profit and loss disclosures to evaluate operating performance and cash generation.
• Track director actions or external financing arrangements that may affect credit exposure.
• Pay attention to any overdue filings or adverse changes in company status indicating operational distress.