SAM DIX CARPENTRY LTD

Executive Summary

SAM DIX CARPENTRY LTD is a recently established micro-entity in the domestic construction sector with a strong balance sheet relative to its size and positive working capital. While the company’s short trading history limits credit insight, its current financial position supports modest credit exposure. Continued monitoring of operational performance and financial development is essential to mitigate risks associated with its early stage.

SAM DIX CARPENTRY LTD - Analysis Report

Company Number: 14471376

Analysis Date: 2025-07-20 11:44 UTC

1. Credit Opinion: APPROVE with caution.
   SAM DIX CARPENTRY LTD is a newly incorporated micro-entity operating in the construction of domestic buildings. Its latest accounts show a positive net asset position and working capital, indicating initial financial stability. However, as a young company with less than one year of trading history and no employees reported, credit risk exists due to limited trading track record and potential volatility in cash flows. Approval is recommended for modest credit facilities with ongoing monitoring.

2. Financial Strength:
   The balance sheet as of 30 November 2023 shows total assets of £32,837 comprising fixed assets (£9,184) and current assets (£23,653). Current liabilities amount to £7,802, resulting in net current assets (working capital) of £15,851. Shareholders' funds stand at £25,035, indicating equity capital exceeding liabilities and a solvent position. The small asset base and micro classification are typical for a startup, but the positive equity and working capital provide a cushion against short-term liabilities.

3. Cash Flow Assessment:
   Current assets exceed current liabilities by a factor of approximately 3:1, suggesting adequate liquidity to meet short-term obligations. However, the absence of reported employees and minimal fixed assets imply limited operational scale thus far. Without detailed cash flow statements, it's prudent to assume cash flow generation is still developing. The company’s working capital position is sound but should be closely monitored as operations expand.

4. Monitoring Points:

• Timely filing of next accounts and confirmation statement to maintain regulatory compliance.
• Development of revenue streams and profitability to support debt servicing capacity.
• Changes in working capital dynamics as trading scales up, especially receivables and payables turnover.
• Any changes in director or shareholder structure that could affect governance or financial support.
• Evidence of management effectiveness in controlling costs and generating stable cash flows.