THE INDUSTRY CLUB TRUSTEES LIMITED

Executive Summary

The Industry Club Trustees Limited is a newly formed micro-entity with strong fixed asset holdings but currently faces negative working capital and potential liquidity risks. Credit can be conditionally approved provided close ongoing monitoring of cash flow and current liabilities is maintained. Management’s professional background offers some reassurance, but further financial data over time will be necessary to confirm credit strength.

THE INDUSTRY CLUB TRUSTEES LIMITED - Analysis Report

Company Number: 15206425

Analysis Date: 2025-07-29 20:50 UTC

1. Credit Opinion:
   CONDITIONAL APPROVAL. The Industry Club Trustees Limited is a newly incorporated private company limited by guarantee with no share capital, operating under a micro-entity reporting regime. The balance sheet shows significant fixed assets (£5.15m) but also very high current liabilities (£4.5m), resulting in a negative working capital position. Although net assets are positive (£652k), the large current liabilities relative to current assets indicate potential liquidity constraints. Given the company’s short trading history (incorporated Oct 2023) and limited financial history, credit is cautiously recommended with conditions such as stringent monitoring of cash flows and receivables, plus possible security or guarantees to mitigate liquidity risk.

2. Financial Strength:
   The company holds substantial fixed assets, suggesting investment in long-term resources. The positive net asset position indicates equity buffer; however, the negative net current assets (-£4.5m) show that current liabilities substantially exceed current assets, which raises concerns over short-term solvency. The company has no share capital and is limited by guarantee, meaning members’ liability is capped and there are no equity injections from shares to draw upon. The micro-entity status limits available financial disclosures, increasing reliance on future filings for better assessment.

3. Cash Flow Assessment:
   The material negative working capital suggests potential difficulty in meeting near-term obligations without converting fixed assets or securing external funding. There is no disclosed cash or debtor balance detail, which restricts assessment of liquidity sources. The company must demonstrate ability to generate operating cash flow or access to liquidity facilities. The presence of three directors with relevant professional backgrounds (including an accountant) is a positive factor for financial stewardship and cash management.

4. Monitoring Points:

• Quarterly review of cash flow statements and debtor aging reports.
• Timely filing of subsequent accounts and confirmation statements to track financial progression.
• Monitoring changes in current liabilities and efforts to reduce short-term debt.
• Assessment of asset liquidity and potential encumbrances.
• Watch for any change in company status or director conduct that could impact creditworthiness.