Company Number: 13177249

Analysis Date: 2025-07-20 17:39 UTC

1. Credit Opinion: DECLINE
   Wasted (NE) Limited’s financial position reveals persistent net current liabilities and negative shareholders funds over multiple years, indicating ongoing financial distress and insufficient capitalisation. Despite the company being active and compliant with filings, the balance sheet weakness and lack of positive net assets impair its ability to service debt reliably. The absence of audit and limited financial disclosures add uncertainty. Therefore, extending credit without substantial mitigating factors or guarantees is not advisable.

2. Financial Strength:
   The company is categorized as micro, with limited fixed assets (£15k) and current assets (£47k) against current liabilities of nearly £66k as of February 2025. This results in a net current liability position of approximately £18.6k, an improvement from prior years but still negative. Total net assets remain negative at around -£3.3k, reflecting accumulated losses and weak equity. The company’s ongoing negative net asset position over the last 4 years signals capital erosion, with no evidence of profitability or retained earnings to strengthen the balance sheet.

3. Cash Flow Assessment:
   Current liabilities consistently exceed current assets, indicating working capital deficits and potential liquidity issues. Operating with negative net current assets makes meeting short-term obligations challenging without external funding or improved cash conversion cycles. The company employs 8-9 staff but with limited asset base and no clear indication of cash reserves or positive cash flow generation. This raises concerns about the company’s ability to maintain day-to-day operations and service debt without additional capital injections.

4. Monitoring Points:

• Watch for improvement in net current assets turning positive through increased current assets or reduced short-term liabilities.
• Monitor cash flow statements closely if available to assess operational cash generation or dependency on external financing.
• Review any changes in ownership or director appointments that might influence financial stewardship.
• Track industry risks in waste management sector that could impact revenue streams or operational costs.
• Ensure timely filing of accounts and returns continue to avoid regulatory penalties and maintain transparency.