THE PRODUCT SHELF LTD

Executive Summary

The Product Shelf Ltd is an early-stage online retail business with limited financial history and small asset base. While current liquidity is adequate to cover short-term liabilities, the company’s creditworthiness depends on growth in sales and cash flow management. Credit approval is recommended on a conditional basis with close ongoing financial monitoring.

THE PRODUCT SHELF LTD - Analysis Report

Company Number: 14774432

Analysis Date: 2025-07-29 21:07 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   The Product Shelf Ltd is a very recently established private limited company (incorporated April 2023) operating in online retail (SIC 47910). The company shows positive net current assets (£392) and no overdue filings, but financial data is limited to one short reporting period with minimal scale (current assets £1,295). The director holds full control, indicating concentrated decision-making but also potential risk if oversight is weak. Given the company's nascent stage, low asset base, and limited trading history, credit approval should be conditional on ongoing performance monitoring and requiring updated financials before increasing exposure.

2. Financial Strength:
   The balance sheet as of April 30, 2024, shows a modest net asset position (£392) with current assets primarily composed of debtors (£1,054) and cash (£241). Current liabilities stand at £903, so working capital is positive but very tight (£392). There are no fixed assets or significant reserves, reflecting a startup phase with minimal capitalization beyond the £1 share capital. The financial statements are unaudited, and no profit and loss figures are disclosed, limiting insight into earnings or profitability trends.

3. Cash Flow Assessment:
   Cash reserves are minimal (£241), indicating limited liquidity buffers. Debtors exceed cash, suggesting potential cash flow timing risk if collections slow. Positive net current assets indicate the company can meet short-term liabilities currently but with little room for stress. Absence of employees suggests low operating overhead, which somewhat mitigates cash burn risk. However, lack of historic cash flow data and small cash balances mean the company’s ability to service debt depends heavily on ongoing sales and debtor collections.

4. Monitoring Points:

• Timely receipt of next set of accounts and confirmation statements to assess progression.
• Debtor aging and cash collection efficiency to mitigate liquidity risk.
• Evidence of revenue growth and profitability development to improve capital base.
• Director’s continued involvement and any changes in control or governance.
• Any external financing or capital injections to strengthen balance sheet.