TOMA ESTATE AGENT LIMITED

Executive Summary

TOMA ESTATE AGENT LIMITED is a micro-entity with positive net assets and improved working capital, supporting modest creditworthiness. Its small scale and limited employee base suggest cautious lending with monitoring of liquidity and operational performance. Overall, the company shows financial stability appropriate for limited credit exposure.

TOMA ESTATE AGENT LIMITED - Analysis Report

Company Number: 14131612

Analysis Date: 2025-07-29 12:25 UTC

1. Credit Opinion: APPROVE for modest credit facilities with caution. TOMA ESTATE AGENT LIMITED is a micro-entity with a stable net asset base and positive working capital. The company has shown slight improvement in net current assets year-on-year, indicating some operational liquidity. However, its small scale, limited employee base (one employee), and modest fixed asset level constrain its ability to absorb financial shocks or rapidly expand. Credit exposure should be limited and closely monitored.

2. Financial Strength: The balance sheet reflects a small but positive equity position (£9,889 as of May 2024), with net assets marginally increased from the prior year. Fixed assets have slightly decreased (£9,000 from £9,500), but net current assets have improved to £889 from £250, suggesting better short-term asset coverage over liabilities. The company maintains a comfortable net asset position relative to its micro-entity status, with no indication of over-leverage or insolvency risk at this time.

3. Cash Flow Assessment: Current assets (£3,200) exceed current liabilities (£2,311), yielding positive net working capital that supports day-to-day liquidity. Although cash specifics are not detailed, the current ratio (~1.38) indicates an adequate short-term liquidity buffer. The company’s single-employee structure likely keeps overhead low, which may help maintain cash flow stability. However, limited scale and asset base mean cash flow volatility could be a concern if revenues fluctuate.

4. Monitoring Points:

• Track net current assets and current ratio for any deterioration indicating cash flow stress.
• Review turnover and profit trends when available to assess operational growth or decline.
• Monitor director and management conduct as only one director is listed; concentration risk exists.
• Ensure timely filing of accounts and confirmation statements to avoid compliance risk.
• Watch for changes in fixed assets that might indicate capital expenditure or disposals impacting financial stability.