VISION BY EMILY LEY LIMITED

Executive Summary

VISION BY EMILY LEY LIMITED has demonstrated a positive turnaround in financial position with improved liquidity and net assets in the latest year, supported by strong cash balances. While the company remains small-scale with limited operational breadth, the improving financials support conditional credit approval subject to ongoing monitoring of cash flow and working capital management. Continued vigilance is recommended due to the company’s limited size and short operating history.

VISION BY EMILY LEY LIMITED - Analysis Report

Company Number: 12426584

Analysis Date: 2025-07-20 14:59 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   VISION BY EMILY LEY LIMITED shows a marked improvement in financial health over the past year, moving from negative net assets in 2023 to positive net assets of £1,908 as of 31 January 2024. The company’s liquidity position has strengthened considerably, with cash balances rising from £106 to £5,337, allowing better coverage of short-term liabilities. However, the business remains small, with limited fixed assets and only one employee (the director), indicating limited operational scale and potentially constrained cash flow generation. The company’s ability to sustain growth and repay credit depends on continued positive cash flow and managing current liabilities prudently. Given the improving trend but limited financial scale and operating history, credit should be extended with conditions such as regular financial monitoring and possibly limits on facility size.

2. Financial Strength:
   The balance sheet as of 31 January 2024 shows net assets of £1,908, reversing a prior deficit of £1,477 in 2023. Tangible fixed assets are modest (£227) and have been depreciated significantly. Current assets amount to £5,437 driven mainly by cash (£5,337) and some debtors (£100). Current liabilities stand at £3,756, yielding net current assets (working capital) of £1,681, indicating a positive short-term liquidity buffer. Shareholders’ funds are positive and reflect accumulated retained earnings of £1,808, suggesting the company has returned to profitability or retained positive earnings during the year. Overall, the financial position is stable but relatively weak in absolute terms due to the small asset base.

3. Cash Flow Assessment:
   The company’s cash position has improved significantly, increasing nearly 50-fold from £106 to £5,337. This improvement suggests better cash inflows or improved working capital management over the year. Current liabilities have increased somewhat but remain well covered by current assets and cash on hand. The absence of detailed profit and loss data makes it difficult to fully assess operational cash flow, but the positive net current assets and cash balances indicate adequate short-term liquidity to meet obligations. Monitoring future cash flow statements will be critical to ensure ongoing debt servicing capability.

4. Monitoring Points:

• Maintain close oversight of cash flow trends, especially given limited fixed asset base and single-employee operation.
• Monitor current liabilities and ensure they do not outpace growth in current assets to avoid liquidity pressures.
• Watch for any changes in debtor collection patterns given the small scale of receivables.
• Assess operational profitability in future filings to confirm sustainability of improved net asset position.
• Keep track of director’s involvement and any changes in business focus or scale that could affect credit risk.