SHREYA SOFT SOLUTIONS LTD

Executive Summary

SHREYA SOFT SOLUTIONS LTD is a micro-entity showing solid improvement in net assets and liquidity since incorporation in 2020. The company demonstrates adequate financial health to service its current obligations, supported by a clean balance sheet and positive working capital. Credit approval is recommended with routine monitoring due to the company’s early stage and limited financial history.

SHREYA SOFT SOLUTIONS LTD - Analysis Report

Company Number: 12992146

Analysis Date: 2025-07-20 14:19 UTC

1. Credit Opinion: APPROVE with conditions
   SHREYA SOFT SOLUTIONS LTD shows a positive trajectory in net assets and working capital over recent years, indicating improving financial health. The company is a micro-entity with modest scale but has consistently maintained positive net current assets, suggesting it can meet short-term obligations. However, the small size and limited operating history since incorporation in 2020 warrant monitoring. Approval is recommended with conditions such as periodic financial reviews and limits on exposure, given the company’s early stage and limited financial data.

2. Financial Strength:
   The balance sheet shows net assets increased substantially from £5,407 in 2023 to £27,175 in 2024, driven primarily by growth in current assets (£66,818 in 2024 vs. £5,407 in 2023) while current liabilities also appeared in 2024 (£39,643). The company has no fixed assets reported, indicating an asset-light model typical for information service activities. Shareholders' funds mirror net assets, reflecting no external debt on the balance sheet. Overall, the company demonstrates a solid equity base relative to its size, with strengthening liquidity.

3. Cash Flow Assessment:
   The company’s net current assets of £27,175 in 2024 reflect a comfortable liquidity buffer to cover current liabilities of £39,643, supported by current assets of £66,818. The increase in current liabilities from zero to nearly £40k suggests growing business activity or possibly supplier credit or accrued expenses. Absence of overdrafts or loans indicates reliance on internal cash or trade credit. With only one employee and no audit requirement, working capital management appears adequate but should be monitored closely as the business scales.

4. Monitoring Points:

• Maintain and improve positive net current assets to ensure liquidity.
• Monitor current liabilities trend to avoid overstretching short-term obligations.
• Review cash flow statements (when available) for consistency with reported balance sheet improvements.
• Observe any changes in ownership or director conduct that might affect governance.
• Track business growth and profitability as filings become more detailed over time.