VP RECOVERY LTD

Executive Summary

VP Recovery Ltd is a newly incorporated micro-entity with negligible trading activity and minimal financial resources. Due to lack of cash flow, assets, and trading history, the company currently does not demonstrate the capacity to service debt or support credit facilities. Continuous monitoring of trading progress and liquidity development is essential before reconsidering credit provision.

VP RECOVERY LTD - Analysis Report

Company Number: 14828661

Analysis Date: 2025-07-29 13:44 UTC

1. Credit Opinion: DECLINE
   VP Recovery Ltd is an extremely new company (incorporated in April 2023) with minimal trading history and negligible financial activity. The turnover reported for its first accounting period is only £100, with no meaningful assets, liabilities, or working capital. There are no current or historical bank borrowings or trade creditors, indicating no established credit relationships or proven ability to service debt. The company’s extremely limited scale and absence of operating cash flow make it unsuitable for credit extension at this stage.

2. Financial Strength:
   The balance sheet at 30 April 2024 shows total net assets of just £2, comprising £1 intangible and £1 tangible assets, with zero current assets and zero liabilities. Shareholders’ funds equal net assets, reflecting an immaterial equity base. The company has no cash reserves, no debt, and no trade receivables or payables. This balance sheet indicates no financial buffer or resilience and minimal capital invested. The company’s micro-entity filing status and absence of significant financial transactions confirm its very early stage of development.

3. Cash Flow Assessment:
   With reported turnover of only £100 and no current assets including cash or debtors, the company’s liquidity position is effectively non-existent. The absence of current liabilities means there are no immediate financial obligations, but also no working capital to fund operations or absorb shocks. The lack of cash inflows and zero reported costs suggest the company has not yet commenced meaningful trading activity. This lack of operational cash flow capacity presents a high risk for any credit facility.

4. Monitoring Points:

• Trading performance and turnover growth in the next 12 months to assess business viability.
• Development of working capital including cash generation and management of payables/receivables.
• Changes in balance sheet composition, particularly any increase in net assets or introduction of debt.
• Director and shareholder activity to monitor governance and strategic direction.
• Timely filing of annual accounts and confirmation statements to ensure compliance and transparency.