Company Number: 14628121

Analysis Date: 2025-07-29 15:33 UTC

1. Credit Opinion: CONDITIONAL APPROVAL. Tradesmen 365 Ltd is a newly incorporated private limited company (incorporated January 2023) operating in combined facilities support activities (SIC 81100). The company’s latest filed accounts show a very small scale of operations, with total current assets of £4,360 and current liabilities of £4,178, resulting in minimal net current assets of £182. Shareholders’ funds equal this net asset figure, reflecting a small equity base. The company has no long-term assets or borrowings reported. Given the early stage of the business and modest financial base, credit facilities should be granted cautiously and ideally secured or limited in size. The directors appear to have a direct controlling interest (75-100% ownership) which supports governance but the company’s ability to generate cash flow to service debt is unproven at this point.

2. Financial Strength: The balance sheet presents a very small and nascent business with marginal net working capital of £182. Current assets consist of £1,745 cash and £2,615 debtors, while current liabilities are £4,178 including corporation tax of £2,928 and other creditors of £1,250. The absence of fixed assets or retained earnings indicates the company is in startup phase with no accumulated profits. The equity base is minimal (£182) and vulnerable to any operational losses or cash flow shortfalls. This weak financial position limits the company’s capacity to absorb financial shocks or invest in growth without external funding.

3. Cash Flow Assessment: Cash at bank is £1,745, which is low but slightly exceeds immediate creditors excluding tax. Debtors of £2,615 may reflect invoiced but not yet collected revenue, but turnover and profitability details are not disclosed. The presence of a sizeable corporation tax creditor suggests some taxable profits or tax liabilities have arisen, but no detailed profit and loss data is included. Given the company employed only one person on average and has limited assets, cash flow is likely tight and dependent on timely collection of receivables and controlled payables. Liquidity risk is present if there are delays in payments from customers or unexpected expenses.

4. Monitoring Points:

• Monitor quarterly cash flow and debtor collection to ensure liquidity remains positive.
• Track any changes in current liabilities, especially tax and creditor balances.
• Review subsequent year accounts for evidence of revenue growth and profit generation.
• Watch for any increase in borrowing or overdraft usage that may strain financial flexibility.
• Assess director conduct and governance as the company grows to mitigate operational risk.