TTB PARTNERS INVESTMENT ADVISORY LTD

Executive Summary

TTB Partners Investment Advisory Ltd is an early-stage management consultancy with a modest balance sheet and significant accumulated losses. While it maintains positive net assets, the company faces liquidity risks due to low cash reserves and high debtor balances. Credit approval is conditional and should be coupled with close monitoring of cash flow, debtor collections, and working capital management to mitigate repayment risk.

TTB PARTNERS INVESTMENT ADVISORY LTD - Analysis Report

Company Number: 13660450

Analysis Date: 2025-07-20 17:55 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   TTB Partners Investment Advisory Ltd is an active private limited company incorporated in late 2021, operating in management consultancy. The latest unaudited abridged accounts show a positive net asset position but a substantial accumulated loss in the profit and loss reserve. The company has grown its debtor base significantly, but cash liquidity is low. The increase in current liabilities, particularly trade creditors and accruals, suggests potential short-term liquidity pressures. Given the early stage of the business and limited profitability data, credit approval should be conditional on continued monitoring of cash flow and working capital management.

2. Financial Strength:
   The balance sheet reflects net assets of £7,113 as at 31 December 2023, down sharply from £70,975 at the previous reporting date. Shareholders’ funds are positive but mostly represented by share capital (£905,653) offset by a large negative profit and loss account balance (-£898,540). This indicates accumulated losses since inception. Current assets (£144,984) are mainly debtors (£142,146), with very low cash balances (£2,838). Current liabilities have increased markedly to £137,871 from £8,058, eroding net current assets to £7,113. The company’s solvency is marginal with heavy reliance on debtor collections and shareholder funding.

3. Cash Flow Assessment:
   Cash holdings are minimal relative to current liabilities and debtors, which suggests cash conversion cycles may be prolonged or collections slow. The large debtors balance indicates revenue billed but not yet collected, posing liquidity risk if clients delay payment. The working capital position is very tight, with net current assets shrinking significantly year-on-year. The increase in employee numbers (6 from 2) implies higher operating costs that must be covered by improving cash inflows. Careful cash flow management will be critical to meet short-term obligations.

4. Monitoring Points:

• Debtor aging and collection efficiency to ensure cash inflow matches or exceeds outgoings.
• Trend in current liabilities, particularly trade creditors and accrued expenses.
• Profitability trajectory and reduction in accumulated losses.
• Cash reserves relative to operating expenses and debt maturities.
• Any additional capital injections or refinancing to support liquidity.
• Director and shareholder activity for signs of financial support or operational changes.