Company Number: 12742588

Analysis Date: 2025-07-20 16:19 UTC

1. Credit Opinion: APPROVE
   Samart Incorporated Ltd demonstrates strong financial health with substantial liquidity, positive net current assets, and increasing shareholders' funds over the past four years. The company is active, compliant with filing deadlines, and under the control of a single director/shareholder with clear accountability. No signs of financial distress or director disqualifications exist. The company’s ability to meet short-term obligations is strong, supporting approval for credit facilities.

2. Financial Strength
   The balance sheet reflects solid financial strength. Shareholders' funds increased from approximately £498k in 2020 to £1.51M in 2024, showing consistent retained earnings growth. Tangible fixed assets have increased notably in 2024, indicating investment in operational capacity. The company maintains low leverage with current liabilities well covered by current assets, and no long-term debt reported.

3. Cash Flow Assessment
   Cash at bank remains very healthy (£1.53M in 2024), forming the bulk of current assets and enabling comfortable coverage of current liabilities (£279k). Net current assets of £1.39M indicate ample working capital. Debtors are modest relative to cash, limiting credit risk from receivables. Director's current account balances are managed with repayments occurring within the same reporting period, reducing risk of related party indebtedness.

4. Monitoring Points

• Maintain monitoring of cash flow to ensure continued strong liquidity, especially given the company’s growth and increased fixed asset base.
• Track director's advances and ensure timely repayment to avoid potential cash flow strain.
• Watch for any significant changes in current liabilities, particularly PAYE/NIC and corporation tax control balances, to avoid tax-related liquidity issues.
• Monitor business performance in the video production sector for market shifts that could affect revenue streams.