Company Number: 13815506

Analysis Date: 2025-07-20 13:19 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Tunza Care Ltd is a micro-entity with a relatively small asset base and modest liabilities. The company shows a significant decline in net assets from £15,610 in 2022 to £8,063 in 2023, primarily driven by a large reduction in current assets (£22,609 to £7,252). Although it maintains positive net current assets and shareholders’ funds, the sharp decline raises concerns regarding the stability of cash and working capital. The single director and 100% owner, Ms. Sylviah Njiru, appears stable with no adverse conduct records. Given the limited scale and recent financial contraction, credit approval should be conditional on updated financial information and clear plans to restore working capital and cash flow.

2. Financial Strength:
   The balance sheet indicates a very small fixed asset base (£1,203) and current assets dominated likely by cash or receivables (£7,252). Current liabilities are low (£392), resulting in positive net current assets (£6,860). However, the net assets have nearly halved in the past year, signifying a weakening equity buffer. The company’s micro-entity status means limited filing detail is available, but the decline in net assets and halving of current assets suggest financial fragility and potential liquidity risks if cash flow issues persist.

3. Cash Flow Assessment:
   The substantial reduction in current assets from 2022 to 2023 suggests either a use of cash or reduction in receivables/stock, which may impact liquidity. The very low current liabilities imply limited short-term obligations, but the company’s ability to generate positive operating cash flow is uncertain. The reduction in employee numbers from 2 to 1 also indicates possible cost-cutting measures. Overall, liquidity appears constrained but sufficient to cover immediate liabilities; ongoing monitoring of cash flow and working capital management is essential.

4. Monitoring Points:

• Quarterly updates on cash and current asset levels to track liquidity trends.
• Confirmation of revenue and profit trends to assess business viability and debt servicing capacity.
• Any changes in director or ownership structure that could affect governance or control.
• Monitoring of payment behavior with suppliers and creditors to detect early signs of financial distress.
• Review of upcoming filings and any overdue statutory returns, although currently none are overdue.