Company Number: 13592340

Analysis Date: 2025-07-20 17:56 UTC

1. Credit Opinion: DECLINE
   THE OLD JOINERY STUDIO LTD shows persistent negative equity with shareholders' funds improving slightly from -£1,032 in 2023 to -£199 in 2024 but still negative. The company is a micro-entity with very limited assets (£536 current assets) and liabilities (£735 current liabilities). Net current liabilities indicate a working capital deficit, which raises concerns about the company's ability to meet short-term obligations. The small scale of operations (1 employee) and absence of profit and loss data limit confidence in revenue generation and cash flow stability. Given the negative net assets, limited liquidity, and no audit or detailed financial disclosures, the company is currently not considered creditworthy for new lending without substantial guarantees or improvements.

2. Financial Strength:
   The balance sheet reveals very weak financial health. Total current assets barely cover current liabilities, resulting in net current liabilities of £199. The negative shareholders' funds reflect accumulated losses or capital deficiencies since incorporation in 2021. No fixed assets or long-term investments are reported, and the company relies solely on minimal current assets (likely cash or receivables). The slight reduction in net liabilities compared to prior years is positive but insufficient to offset the overall weak capital structure.

3. Cash Flow Assessment:
   No explicit cash flow statement is provided, but the minimal current assets and ongoing net current liabilities suggest tight cash flow conditions. The company is likely operating with constrained liquidity, risking inability to service creditors and meet immediate financial commitments. The micro-entity status and small employee base imply low operating scale, which may limit cash inflows. Without positive working capital or reserves, the company’s short-term financial flexibility is limited.

4. Monitoring Points:

• Improvement in shareholders’ funds towards positive territory
• Enhancement of net current assets to ensure working capital sufficiency
• Timely filing of accounts and returns to monitor ongoing compliance
• Any changes in ownership or director appointments to assess management stability
• Receipt of profit and loss information or cash flow data to better evaluate operational performance
• Evidence of new funding or capital injections that could improve financial strength