Company Number: 14457705

Analysis Date: 2025-07-19 12:54 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Thrive Alive Psychotherapy Ltd is a recently incorporated private limited company (Nov 2022) operating in the human health services sector. The company’s financials indicate modest net assets (£12,603) and positive net current assets (£10,263), supported by cash balances (£18,832) exceeding current liabilities (£8,569). This suggests the company can meet short-term obligations. However, the business is still in its infancy with limited financial history and only one employee, which increases risk. Credit approval should be conditional on regular financial monitoring and perhaps limits on facility size or covenant protections, reflecting the early stage and relatively low financial scale.

2. Financial Strength:
   The balance sheet shows a small but positive equity base with net assets of £12,603 comprised mainly of retained earnings (£12,602) and minimal share capital (£1). Tangible fixed assets are low (£2,340), which is typical for a service-based business. Current liabilities are manageable relative to cash and current assets, resulting in net current assets of £10,263. The company’s small scale and limited asset base mean it has limited financial buffer to absorb shocks but no apparent over-leverage or solvency concerns at this stage.

3. Cash Flow Assessment:
   Cash of £18,832 exceeds short-term liabilities, indicating good liquidity and working capital position as of the last accounts date (Nov 2023). This suggests the business has sufficient cash to cover immediate obligations, payroll, and operating expenses in the short term. However, without detailed profit and loss data or cash flow statements, ongoing cash generation capability and sustainability are unknown. Monitoring of cash flow trends and receivables/payables turnover is recommended.

4. Monitoring Points:

• Regular review of turnover growth and profit margins as the business matures.
• Cash flow monitoring to ensure continued liquidity, especially given limited asset base.
• Track changes in current liabilities and any new debt facilities or credit lines.
• Management of tax and other creditors to avoid payment delays.
• Monitor any changes in ownership or director conduct that may affect control or governance.