Company Number: 12466864

Analysis Date: 2025-07-20 15:59 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Wentworth Services Ltd demonstrates modest but improving financial strength with positive net assets and working capital. The company has shown growth in shareholders' funds and employs a small workforce consistent with its micro-entity status. However, the absence of profit and loss details, limited scale, and reliance on directors' advances require cautious credit terms. Approval is recommended with conditions such as monitoring cash flow closely and limiting exposure until further financial performance data is available.

2. Financial Strength:
   The balance sheet as of 31 March 2024 shows current assets of £297,873 against current liabilities of £262,447, producing net current assets (working capital) of £35,426, an improvement from £30,462 the previous year. Net assets rose significantly from £1,301 to £16,390, indicating enhanced equity and reduced net liabilities. The company maintains low share capital (£4) typical of micro entities. Overall, the financial position is stable but modest in scale, reflecting a small but growing real estate agency.

3. Cash Flow Assessment:
   Current assets mainly comprise cash, receivables, or equivalents, sufficient to cover short-term liabilities with a current ratio slightly above 1.1x. The net current asset buffer is narrow, suggesting limited liquidity cushion to absorb unexpected cash demands. The director loan of £3,267 (repaid post year-end) indicates some reliance on internal funding. Average employee count increased to 2, implying incremental operational costs. The company should demonstrate consistent cash flow inflows to maintain liquidity.

4. Monitoring Points:

• Track upcoming financial filings for profitability and cash flow statements to better assess operational performance.
• Monitor working capital trends to ensure net current assets do not deteriorate.
• Watch for any director-related transactions or advances that could indicate cash pressure.
• Observe the impact of market conditions on the real estate sector (SIC 68310) and any regulatory changes affecting agency operations.
• Review credit exposure limits to avoid overextension given the company’s micro size and modest equity base.