Company Number: 14470674

Analysis Date: 2025-07-20 12:13 UTC

Credit Opinion:
APPROVE with conditions. TEGELEM LIMITED is a very young private limited company (incorporated Nov 2022) operating in the financial intermediation sector (SIC 64999). The latest unaudited accounts to 30 Nov 2024 show positive net assets and improving working capital. However, the company is small, with modest financial resources and limited trading history. Approval should be conditional on continued positive cash flow and timely filing of future accounts and returns.

Financial Strength:

• The company’s net assets increased from £7,997 in 2023 to £15,546 in 2024, indicating growth in equity principally from retained earnings.
• Current assets mainly consist of cash (£47,245) with no debtors as of 2024, showing a liquid asset base.
• Current liabilities are £33,341, slightly reduced from prior year, yielding net current assets of £13,904, improving liquidity and working capital position.
• Tangible fixed assets are minimal (£2,147), consistent with a service-oriented company.
• The balance sheet is unencumbered, with no long-term liabilities, supporting financial stability.
• The company is exempt from audit, and accounts are unaudited, which reduces transparency and increases risk slightly.

Cash Flow Assessment:

• Cash balances have risen from £38,102 (2023) to £47,245 (2024), indicating positive cash generation or capital injections.
• Absence of trade debtors in 2024 suggests cash collection is prompt or business may be prepaid, reducing credit risk.
• Current liabilities primarily include tax liabilities (£29,412), accrued expenses, and minor director loans, all manageable given cash resources.
• Net working capital is positive and improving, supporting day-to-day operations and short-term obligations.
• The company has only two employees, limiting fixed overheads and cash outflow.

Monitoring Points:

• Monitor timely filing of accounts and confirmation statements to maintain compliance and creditworthiness.
• Watch cash flow trends, particularly management of tax liabilities and accrued expenses to avoid liquidity strain.
• Track profitability trends as income statement details are not publicly available; sustained earnings growth is critical.
• Observe any changes in director conduct or shareholding that could impact governance or control.
• Monitor sector conditions in financial intermediation and the company’s ability to scale operations without overextending financially.