TECH AND TECHNICIAN LTD

Executive Summary

TECH AND TECHNICIAN LTD shows improving financial health with rising net assets and positive working capital, supporting its ability to service short-term obligations. The company’s small scale and limited financial disclosures warrant cautious credit exposure and ongoing monitoring. Overall, the credit risk is manageable with prudent limits aligned to company size and cash flow capacity.

TECH AND TECHNICIAN LTD - Analysis Report

Company Number: 13300562

Analysis Date: 2025-07-29 14:34 UTC

1. Credit Opinion:
   APPROVE with caution. TECH AND TECHNICIAN LTD demonstrates positive net current assets and net assets growth over the last two years, indicating improving financial stability. The company is small-scale (micro-entity) with limited financial disclosures but shows ability to meet short-term liabilities. However, limited profit and loss data and small asset base necessitate monitoring before extending larger credit facilities.

2. Financial Strength:
   The company’s net assets increased from £874 in March 2023 to £6,827 in March 2024, reflecting a strengthening balance sheet. Current assets rose by ~41% (£16,818 to £23,716), while current liabilities increased modestly. Shareholders' funds improved correspondingly, indicating retained earnings or capital injection. The small capital base (£1 share capital) means equity growth derives mostly from operational results or reserves. No fixed assets reported, limiting collateral value.

3. Cash Flow Assessment:
   Positive net current assets (£6,827) suggest sufficient short-term liquidity to cover current liabilities (£16,889). The increase in working capital indicates improved cash flow management or receivables collection. The company's micro classification and relatively low turnover (inferred from small asset and liability figures) imply modest cash inflows and outflows. Absence of profit and loss details limits deeper cash flow analysis but current asset growth is a positive sign.

4. Monitoring Points:

• Track timely filing of annual accounts and confirmation statements to maintain compliance.
• Monitor profit generation and cash flow performance when full P&L data becomes available.
• Watch for changes in current liabilities or creditor days that could pressure liquidity.
• Observe any director changes or related party transactions given sole control by one individual.
• Evaluate business growth and market conditions in the retail mobile phone sector for risks.