Company Number: 13537914

Analysis Date: 2025-07-20 17:18 UTC

1. Credit Opinion: DECLINE. Venola Limited is a micro-entity with minimal financial resources and declining net assets over the past two years. The company’s net assets have deteriorated from a positive £1,164 in 2021 to a severely weakened £185 in 2024, following a net asset deficit of £2,763 in 2023. This volatility and downward trend suggest limited capacity to service debt or meet financial obligations reliably. The small scale, lack of profitability information, and minimal current assets relative to liabilities raise concerns about ongoing sustainability and repayment ability.

2. Financial Strength: The company’s balance sheet shows a fragile financial position. Current assets increased modestly to £1,164 in 2024 from £8 in 2023, but current liabilities remain high at £980 in 2024, though down significantly from £2,772 in 2023. Net current assets are positive but very low at £184 in 2024, indicating tight working capital. Shareholders’ funds and net assets are minimal at £185, reflecting limited equity buffer. The absence of fixed assets and reliance on very small capital base reduce financial resilience.

3. Cash Flow Assessment: Working capital is narrowly positive, but the absolute magnitude is very small, implying constrained liquidity. There is no detailed cash flow statement, but the micro-entity status and limited operational scale (one employee) suggest cash generation is minimal. The company must manage cash tightly to meet short-term obligations. The significant reduction in current liabilities from 2023 to 2024 is positive but still leaves thin liquidity margins.

4. Monitoring Points:

• Monitor future filings for improvements in net assets and working capital.
• Watch for trends in current liabilities and ability to reduce short-term debt.
• Assess any potential changes in ownership or director appointments that might affect governance.
• Track any changes in business activity or scale that could impact cash flow and creditworthiness.
• Review any forthcoming profit and loss figures to ascertain operational viability.