RUBYCO LIMITED

Executive Summary

Rubyco Limited is a newly formed micro company exhibiting negative net assets and significant working capital deficits, signalling weak financial health and liquidity challenges. The absence of operating history and cash flow visibility makes lending risky. Credit facilities should be declined until the company demonstrates improved financial stability and trading performance.

RUBYCO LIMITED - Analysis Report

Company Number: 14469147

Analysis Date: 2025-07-20 13:20 UTC

1. Credit Opinion: DECLINE

Rubyco Limited is a very recently incorporated micro-entity with a short trading history (just over one year). The latest accounts show a negative net asset position (£-1,042) and net current liabilities of £4,319, indicating an immediate working capital deficit and insufficient current assets to cover short-term debts. The company’s micro scale with only 1 employee and minimal fixed assets (£3,576) further limits operational flexibility. There is no evidence of profitability or cash inflows sufficient to service current liabilities or fund growth. Given these financial weaknesses, lack of trading history, and negative equity, the company is not creditworthy for any material lending or credit facility at this stage.

2. Financial Strength:

The balance sheet shows net liabilities, with total assets less current liabilities at negative £743. Current liabilities exceed current assets by £4,319, indicating poor liquidity and a strained short-term financial position. Shareholders’ funds are negative, reflecting accumulated losses or initial funding shortfalls. The company’s micro classification and single director suggest limited operational scale and financial resources. The absence of retained earnings and negligible current assets (£281) highlight weak financial robustness.

3. Cash Flow Assessment:

With current liabilities at £4,600 and cash or equivalents likely included in the £281 current assets, Rubyco Limited is illiquid and unable to meet immediate obligations from operating cash flows. The absence of detailed profit and loss information prevents confirming cash generation, but the negative net working capital signals reliance on additional financing or capital injection to sustain operations. Cash flow risk is high, and the company’s ability to meet short-term debt or supplier payments is questionable.

4. Monitoring Points:

• Subsequent trading results and cash flow statements to verify improvement in liquidity.
• Timely filing of next accounts and confirmation statements to assess ongoing compliance.
• Changes in director or shareholder structure that could affect governance or financial support.
• Any capital injections or loan facilities that improve net current assets and overall solvency.
• Impact of the holiday accommodation market conditions (SIC 55209) on revenue generation.