Company Number: 12661248

Analysis Date: 2025-07-29 13:56 UTC

1. Credit Opinion: APPROVE with monitoring. SNAP SHOT COFFEE LTD demonstrates a stable and improving financial position over the last few years, with no overdue filings or indications of distress. The company is a micro-entity operating in the take-away food sector, showing consistent growth in net assets and working capital. The director appears stable with no adverse records. However, given the small size and limited trading history (since 2020), credit limits should be modest and subject to periodic review.

2. Financial Strength: The company’s balance sheet shows solid improvement from £3.6k net assets in 2020 to £34.2k in 2024, indicating retained profits and capital injections. Fixed assets have remained relatively stable around £14.5k to £16k. Current assets increased to £20.8k in 2024, while current liabilities decreased to just over £1k, resulting in a strong net current asset (working capital) position of nearly £19.7k. Shareholders’ funds equate to net assets, reflecting no long-term debt and a clean equity base. Overall, financial strength is sound for a micro-entity.

3. Cash Flow Assessment: Current assets primarily comprise cash and receivables, sufficient to cover short-term liabilities by a factor of almost 19 times, indicating excellent liquidity. The working capital position has improved year-on-year, reducing liquidity risk. The business employs only 2 staff, which suggests manageable overheads. Although detailed cash flow statements are not provided, the balance sheet composition implies positive operating cash generation or capital support. This liquidity profile supports timely debt servicing on modest credit facilities.

4. Monitoring Points:

• Continue monitoring net current assets and liquidity to ensure working capital remains positive amid potential sector volatility.
• Watch for any significant increase in liabilities or fixed asset investment that could strain cash resources.
• Review turnover and profitability trends (not provided here) annually to assess operational performance.
• Confirm there are no director conduct issues or changes in control that could impact governance.
• Given the micro-entity status, ensure compliance with filing deadlines remains consistent.