Company Number: 13224303

Analysis Date: 2025-07-29 14:34 UTC

1. Credit Opinion: DECLINE
   TOM SIMM GOLF LTD presents a weak credit profile with significant net liabilities and negative working capital. The company’s net current liabilities have deteriorated from £6,933 in 2023 to £28,501 in 2024, and net assets have fallen from positive £820 to negative £21,945. This indicates an erosion of the company’s financial base and questions its ability to meet short-term obligations. Additionally, the director’s loan balance to the company has increased, representing funds advanced but not yet repaid, which may mask underlying cash flow strains.

2. Financial Strength:
   The balance sheet shows a micro-entity with minimal fixed assets (£6,556) and current assets of £85,116 mainly comprising receivables and cash equivalents. However, current liabilities have increased sharply to £119,475, causing net current liabilities of £28,501. The resulting negative net assets and shareholders’ funds indicate the company is technically insolvent on a balance sheet basis. The reliance on director advances (£8,266) further suggests external funding support rather than internally generated capital.

3. Cash Flow Assessment:
   Negative working capital and growing current liabilities relative to assets signal liquidity pressures. While cash and equivalents are not separately disclosed, the increase in director loans and negative net current assets imply potential cash flow constraints. The company’s ability to service debts or fund operations internally appears limited. No audit or cash flow statement is provided, but the financial trends warrant caution on liquidity.

4. Monitoring Points:

• Track subsequent filings for any improvement or further deterioration in net assets and working capital.
• Monitor director loans and related party transactions for sustainability and repayment plans.
• Review any upcoming filings (accounts, confirmation statements) for timely compliance and disclosures of financial support or restructuring.
• Watch for repayment capacity and operational cash flow generation given the ongoing negative equity position.
• Assess external market or sector developments impacting "Other sports activities" (SIC 93199) that could affect revenue streams or cost base.