TL AIR SOLUTIONS LTD

Executive Summary

TL AIR SOLUTIONS LTD is a newly formed private limited company with a modest asset base and limited working capital. The company shows positive net current assets and no overdue filings, but its liquidity position is tight and business operations appear nascent. Credit can be conditionally approved with close monitoring of cash flow, profitability, and financial management going forward.

TL AIR SOLUTIONS LTD - Analysis Report

Company Number: 15400307

Analysis Date: 2025-07-29 17:00 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   TL AIR SOLUTIONS LTD is an early-stage company incorporated in January 2024, operating in the air transport and related professional services sector. Given the limited operating history (just over one year) and small scale reflected in the abridged accounts, the company currently presents modest financial resources. While the company shows positive net current assets and no overdue filings, the minimal asset base and limited cash reserves suggest a thin liquidity margin. Credit approval is recommended subject to close monitoring and possibly requiring personal guarantees or additional security, depending on the credit facility size.

2. Financial Strength:
   The company’s balance sheet as of 31 January 2025 shows total assets less current liabilities of £271, comprising £149 in tangible fixed assets and £869 in current assets against £747 in current liabilities. The net current assets of £122 indicate working capital is positive but tight. Shareholders’ funds stand at £271, reflecting initial equity injection and retained earnings, with no external debt indicated. The small asset base and minimal equity suggest limited financial buffer, typical of a start-up. No long-term liabilities are reported.

3. Cash Flow Assessment:
   Cash at bank is £829, representing the bulk of current assets, while debtors are nominal at £40. Current liabilities are £747, largely short-term obligations. The company holds a small working capital cushion (£122), but the cash holdings relative to liabilities are narrow, indicating potential liquidity risk if cash inflows are delayed or expenses increase. Absence of employees and limited operating history mean cash flow predictability is uncertain. The company must maintain tight control over cash management to meet short-term obligations.

4. Monitoring Points:

• Liquidity trends: Monitor cash balances and working capital each quarter to ensure ongoing ability to meet short-term liabilities.
• Revenue and profitability: With no income statement provided, tracking turnover and margin development in subsequent filings is critical.
• Debt levels: Watch for any new borrowing that could strain liquidity or weaken equity base.
• Director’s involvement and financial stewardship: The sole director is also the 100% owner and an airline pilot by occupation, so assessing his capacity to manage the business and financial affairs prudently is important.
• Timely filing compliance: Maintain oversight of accounts and returns deadlines to avoid penalties or regulatory issues.