SOPHIE KEETCH LTD

Executive Summary

Sophie Keetch Ltd demonstrates solid financial health with positive net assets and strong liquidity despite modest scale. The company has maintained timely filings and shows no immediate credit concerns. Approval is recommended with standard monitoring of cash flow and receivables to mitigate risks related to its small size and sole director management structure.

SOPHIE KEETCH LTD - Analysis Report

Company Number: 13680802

Analysis Date: 2025-07-29 19:25 UTC

1. Credit Opinion: APPROVE with caution
   Sophie Keetch Ltd is a small private limited company operating in the artistic creation sector. The company shows a positive net asset position and maintains adequate working capital to meet short-term obligations. While not yet audited, the accounts have been prepared in compliance with the small companies regime and filed on time. The company is relatively young (incorporated in 2021) but demonstrates stable financial management with no signs of distress or overdue filings. Given the modest scale and single-director ownership, approval is recommended with routine monitoring.

2. Financial Strength
   The balance sheet shows total net assets of £49,074 as of October 31, 2024, down from £56,446 the prior year. Fixed assets are negligible (£1) and have been fully depreciated. Current assets (£85,816) primarily comprise cash (£82,670) and a small debtor balance, while current liabilities have reduced to £36,743 from £53,509. The company has a positive net current asset position of £49,073, indicating a healthy short-term liquidity buffer. Shareholders’ funds are stable and reflect retained earnings. The director’s loan account (£12,883) is disclosed but not excessive.

3. Cash Flow Assessment
   Cash flow appears strong with £82,670 in cash balances at year-end, slightly improved from £79,942 the previous year. The reduction in debtors from £29,625 to £3,146 reflects improved collections or lower sales on credit. Current liabilities have decreased, improving liquidity ratios. The company’s working capital position is comfortable, suggesting good cash management and an ability to cover immediate liabilities without recourse to external funding.

4. Monitoring Points

• Continued cash flow monitoring is essential given the company’s small scale and reliance on a single director.
• Watch for any increase in director’s loan account or creditor balances that may signal cash flow stress.
• Monitor debtor days and payment patterns to ensure receivables remain collectible.
• Keep an eye on profitability trends as the profit and loss details are not disclosed; declining equity warrants review.
• Assess any changes in business activity or sector risks in artistic creation that might affect future cash flows.