SF SERVICES LTD

Executive Summary

SF Services Ltd operates at a very small scale with minimal turnover and no profitability, supported only by nominal share capital. Its financial position is very weak, with negligible cash and net assets, limiting its ability to service debt or sustain credit facilities. Given these factors, credit facilities are not recommended at this time without significant improvement in financial performance or capitalization.

SF SERVICES LTD - Analysis Report

Company Number: 13133130

Analysis Date: 2025-07-20 14:11 UTC

1. Credit Opinion: DECLINE
   SF Services Ltd is an active private limited company incorporated in 2021, engaged in electrical installation. However, its financial data reveals extremely limited trading activity with a turnover of only £4,700 for the year ended 31 January 2024, generating a break-even result after administrative expenses. The company's net assets and cash balances remain nominal at £100, with no accumulated profits or reserves. This minimal scale and lack of profitability indicate an inability to generate meaningful cash flow or service any debt. Given the absence of financial depth, the company lacks the capacity to support credit facilities beyond very minimal limits.

2. Financial Strength: Weak
   The balance sheet shows very minimal assets and shareholders' funds (£100), reflecting only the issued share capital. There are no fixed assets or significant current assets beyond a small cash balance of £100. Net current assets are also just £100, indicating negligible working capital. The company has not built any financial buffer and shows no evidence of growth or capitalization. This fragile financial base presents a high risk for any lender, as it offers no collateral or equity cushion.

3. Cash Flow Assessment: Insufficient
   Cash on hand is very limited at £100, with no indication of improving liquidity or positive cash flow from operations. The reported turnover is low and just covers operating expenses, resulting in no net profit or retained earnings. The company’s single-employee structure and minimal trading activity suggest limited cash generation capability. There is a significant risk of cash flow shortfalls, impairing the ability to meet ongoing financial commitments or debt service.

4. Monitoring Points:

• Turnover and profitability trends in future accounts filings to assess business growth or decline.
• Liquidity position and changes in net current assets to evaluate working capital adequacy.
• Any significant change in share capital or external financing that might improve financial strength.
• Director changes and any material operational developments affecting credit risk.
• Timely filing of accounts and confirmation statements to monitor compliance and management quality.