VERTEX INTERNATIONAL SOLUTIONS LTD

Executive Summary

Vertex International Solutions Ltd has improved its financial position since inception but remains a small, early-stage consultancy with tight liquidity and reliance on director loans. Conditional credit approval is recommended, contingent on ongoing financial support and improved working capital management. Close monitoring of cash flow and liabilities is essential to mitigate short-term repayment risks.

VERTEX INTERNATIONAL SOLUTIONS LTD - Analysis Report

Company Number: 13554485

Analysis Date: 2025-07-19 12:43 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Vertex International Solutions Ltd is a recently incorporated private limited company (2021) operating in management consultancy, tax consultancy, and accounting services. The company has shown a turnaround from initial negative net assets in 2021 to a modest positive net asset position of £813 as of August 2023. However, current liabilities (£6,093) still exceed current assets (cash £5,231), resulting in negative net current assets of £862, indicating tight short-term liquidity. The increase in director loans to £5,937 suggests reliance on related party funding. Given the company’s small scale (1 employee) and early stage, credit exposure should be limited and monitored closely. Approval is conditional on continued director support and improvement in working capital metrics.

2. Financial Strength:
   The balance sheet shows a small but positive net asset base (£813) as of the last accounts, reversing previous losses. Tangible fixed assets have increased due to capital expenditure on fixtures and fittings (£2,500 cost, net £1,675 after depreciation). The increase in director loans from £1,531 in 2022 to £5,937 in 2023 highlights external funding reliance rather than operational cash generation. Shareholders’ funds remain low but positive. The company is classified as a small entity and has complied with filing requirements, with no overdue accounts or confirmation statements.

3. Cash Flow Assessment:
   Cash at bank stands at £5,231, which is less than current liabilities of £6,093, reflecting a net current liability position of £862. This indicates potential liquidity stress and a risk that the company may face difficulties meeting short-term obligations without ongoing director loans or external funding. The company’s working capital position is fragile, with no indication of significant trade debtors or other current assets to support cash flow. The average number of employees remains one, suggesting limited payroll obligations.

4. Monitoring Points:

• Monitor quarterly cash flow forecasts to ensure liquidity remains adequate and director loans or other funding are sustainable.
• Track changes in current liabilities and any increases in trade creditors or tax liabilities.
• Review the company’s ability to generate operating cash flow as it scales beyond the initial start-up phase.
• Observe any changes in director appointments or shareholdings that may affect control or financial support.
• Keep watch for timely filing of accounts and confirmation statements to avoid compliance risks.