Company Number: 13528146

Analysis Date: 2025-07-20 18:37 UTC

1. Credit Opinion: DECLINE
   Standing Ground Ltd shows limited financial resources and negative working capital, indicating weak short-term liquidity. The company has net current liabilities of £2,584 as of May 2024 and only £404 in cash, which may impair its ability to meet immediate obligations. The absence of turnover and profitability data (income statement not filed) further increases uncertainty around its capacity to service debt or credit facilities. Given the company's young age and limited financial track record, coupled with negative net current assets, extending credit represents a high risk.

2. Financial Strength:
   The balance sheet reveals a small asset base with tangible fixed assets net of depreciation at £2,738 and shareholders’ funds of merely £154. The company’s equity position is minimal and has seen only marginal improvement since incorporation. Current liabilities of £2,988 exceed current assets (cash only), producing negative working capital of £2,584, which is a liquidity concern. The small capital base and minimal retained earnings suggest limited financial cushion against business shocks.

3. Cash Flow Assessment:
   Cash at bank is only £404, insufficient to cover short-term creditors totaling £2,988, indicating a liquidity shortfall. The absence of reported revenue or profit restricts confidence in the company’s ability to generate operating cash flows. The negative net current assets highlight working capital constraints, suggesting the company may rely on external funding or shareholder support to meet liabilities as they fall due.

4. Monitoring Points:

• Timely filing of full accounts including income statements to assess profitability and cash generation.
• Changes in cash balances and current liabilities to monitor liquidity trends.
• Any capital injections or shareholder loans that improve net current assets.
• Turnover development and gross margin trends once income data becomes available.
• Director and management actions to improve working capital and reduce creditor exposure.