Company Number: 13114801

Analysis Date: 2025-07-20 12:04 UTC

1. Credit Opinion: DECLINE
   Truman Merchandise Limited has filed dormant accounts consistently, indicating no trading activity or revenue generation. Its financials show minimal net assets (£1) with current liabilities nearly equal to its current assets, leaving virtually no working capital buffer. The company’s lack of operational history or trading results precludes any reliable assessment of its ability to service debt. Without positive cash flow or trading performance, the risk of default is high. Credit approval is not recommended.

2. Financial Strength:
   The balance sheet shows a very weak financial position. Net current assets and net assets stand at only £1, reflecting minimal equity and capital investment (one £1 share). Current liabilities of £2,000 match current assets, resulting in negligible net working capital. The company holds no fixed assets or retained earnings. This financial structure is insufficient to support lending or credit risk exposure.

3. Cash Flow Assessment:
   Cash balances are minimal (£650), and the company records no trading income or profits. Debtors and prepayments remain constant year-on-year with no evidence of collections or turnover. The lack of operating activity and cash inflows means the company cannot generate internal funds to cover liabilities or interest payments. Liquidity is extremely constrained.

4. Monitoring Points:

• Filing of non-dormant accounts with trading figures to assess future creditworthiness.
• Changes in working capital, especially improvements in cash or debtor collection.
• Any capital injections or shareholder loans that strengthen the balance sheet.
• Director actions towards operational commencement or business restructuring.