Company Number: 15126785

Analysis Date: 2025-07-29 12:08 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Rohan01 Ltd is a newly incorporated private limited company operating in the hairdressing and beauty treatment sector. The company has filed its first set of abridged accounts with no audit requirement, reporting minimal net assets of £227 as at 30 September 2024. Current liabilities exceed current assets by £7,423, indicating a significant working capital deficit. Given the company’s early stage of development, limited trading history, and weak short-term liquidity, credit approval should be conditional on obtaining detailed cash flow projections and confirmation of owner(s) support or external funding arrangements to cover working capital shortfalls.

2. Financial Strength:

• Fixed assets stand at £7,650 (net book value) mainly representing fixtures and fittings.
• Current assets are £1,577, with cash balances of £827 and stock valued at £750.
• Current liabilities are £9,000, creating negative net current assets of £7,423, which is a concern for liquidity management.
• Total net assets and shareholders’ funds are low at £227, reflecting the company’s infancy and limited retained earnings (£127).
• Share capital is nominal (£100), indicating limited equity buffer.
  Overall, the balance sheet is very weak with a working capital deficit and minimal equity, typical for a start-up but exposing the company to liquidity risk.

3. Cash Flow Assessment:

• The company has cash reserves of £827, which are insufficient to cover current liabilities of £9,000.
• Negative net current assets indicate reliance on short-term funding or owner support to meet obligations as they fall due.
• No historical profit and loss details are available to assess operational cash generation.
• The directors’ report and accounts do not disclose external financing or credit facilities.
• The business will need to closely manage cash flows and possibly secure additional working capital to avoid payment delays.

4. Monitoring Points:

• Track monthly cash flow forecasts versus actuals to ensure liquidity coverage of short-term liabilities.
• Monitor creditor aging and payment performance to detect early signs of cash strain.
• Review updated management accounts and any new borrowing or equity injections.
• Observe any changes in ownership or director appointments that might impact governance and financial control.
• Assess trading performance and profitability once fuller financial data are available in subsequent periods.