VIVIX LIMITED

Executive Summary

VIVIX LIMITED is a newly established IT consultancy business with a fragile financial position marked by very low net assets and significant cash depletion over the last year. While currently compliant and operational, the company exhibits liquidity risks driven by reliance on a large debtor balance and minimal financial reserves. Conditional approval is recommended with close monitoring of cash flow and debtor recoveries to mitigate credit risk.

VIVIX LIMITED - Analysis Report

Company Number: 13917645

Analysis Date: 2025-07-29 18:36 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   VIVIX LIMITED is a very young private limited company incorporated in 2022, operating in the IT consultancy and software development sector. The credit risk is moderate due to its limited operating history and very low net asset base (£243 as of 29 Feb 2024). The company shows a significant decline in cash and net current assets from the prior year, indicating some liquidity pressure. However, it remains active and compliant with filings. Approval may be granted with conditions such as maintaining adequate liquidity and regular monitoring of receivables collection and creditor management.

2. Financial Strength:
   The balance sheet reveals no fixed assets and a very small equity base (£243). Total current assets have decreased substantially from £191k in 2023 to £122k in 2024, primarily driven by a reduction in cash from £191k to £22k. Debtors of £100k have appeared in 2024, which suggests a concentration risk if these are not collectible. Current liabilities have decreased from £187k to £122k but remain high relative to assets, leaving the company with a marginal positive net current asset position (£243). The negligible net assets and small shareholders funds indicate very limited financial buffer to absorb shocks.

3. Cash Flow Assessment:
   Cash reserves have fallen sharply over the last year, raising concerns about ongoing liquidity. While current liabilities have also reduced, the company’s working capital remains close to breakeven. The £100k debtor balance is material and its recoverability is critical for day-to-day operations and meeting short-term obligations. With only one employee and no fixed assets, operating costs are likely low but cash flow from operations appears strained. The company needs to maintain tight control over collections and creditor payments to avoid cash flow distress.

4. Monitoring Points:

• Debtor aging and collectability to ensure no bad debts impair liquidity.
• Cash flow trends monthly to detect any cash shortfalls early.
• Timeliness and completeness of creditor payments to avoid supplier disputes.
• Changes in shareholding or director appointments, given recent management change in April 2025.
• Regular review of filings compliance and any changes in financial position.