Company Number: 13568756

Analysis Date: 2025-07-29 18:46 UTC

1. Credit Opinion: DECLINE
   TECREATIONS LIMITED shows a concerning deterioration in its financial position over recent years. The net current assets position has swung from a positive £3,741 in 2021 to a negative £97 in 2024, indicating worsening liquidity. The company has minimal current assets (£370) against current liabilities (£467) in the latest period, suggesting tight working capital. The absence of employees and minimal asset base raise concerns about operational scale and cash generation capability. Given these factors, the company’s ability to service new debt or credit facilities appears limited, leading to a recommendation to decline additional credit unless significant improvements or guarantees are provided.

2. Financial Strength: Weak
   The balance sheet reflects very low asset levels and net liabilities in the latest year, with shareholders’ funds turning negative (£-97). The company’s net assets have eroded substantially over the three years reviewed, signaling accumulated losses or withdrawals exceeding capital contributions. The micro-entity status and small scale limit the financial buffer available to absorb shocks. There is no indication of fixed assets or tangible collateral to support lending.

3. Cash Flow Assessment: Negative/Constrained
   Current assets are largely insufficient to cover current liabilities, resulting in negative net current assets. The company holds very low cash or equivalents (likely included in current assets) and no employees, implying limited operational activity and cash inflows. The decline in net working capital from £3,741 to negative £97 suggests worsening liquidity management or cash burn. Without evidence of positive cash flow or external funding, the company’s liquidity position is fragile.

4. Monitoring Points:

• Monitor subsequent filed accounts and cash flow statements for signs of improved liquidity or profitability.
• Watch for any changes in director or ownership that might indicate restructuring or capital injection.
• Review any credit events or payment delays reported, given tight liquidity.
• Track filings to ensure compliance and absence of overdue accounts or returns.