Company Number: 13888779

Analysis Date: 2025-07-20 19:04 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Wilkinson Fuels Ltd is a recently established micro-entity operating in freight transport and fuel wholesale. Its net assets have improved modestly over the past year but remain low at £6,970, with persistent net current liabilities indicating tight short-term liquidity. The company is not in liquidation and maintains timely filings, showing compliance and sound governance. However, the negative working capital position and limited asset base suggest a risk of cash flow constraints, warranting close monitoring. Credit facilities could be extended with conditions such as limits on exposure and regular review of cash flow and liquidity.

2. Financial Strength:
   The balance sheet shows a small but improving net asset base, rising from £1,958 in 2023 to £6,970 in 2024. Fixed assets are minimal (£16k), reflecting light capital investment typical for the sector and company size. Current liabilities exceed current assets, resulting in negative net current assets of £9,459, although this is an improvement from the prior year’s £14,828 deficit. The company’s equity base is thin, indicative of limited financial buffer against adverse events.

3. Cash Flow Assessment:
   The negative working capital position indicates potential liquidity pressure. Current liabilities of £71,209 exceed current assets of £61,750, suggesting the business relies on managing payables and receivables efficiently to meet obligations. The average number of employees (7) is stable, implying manageable overhead costs. Without access to cash flow statements, the assessment is based on balance sheet trends, which highlight the need for careful cash flow management and possibly short-term financing support.

4. Monitoring Points:

• Improvement or deterioration in net current assets and liquidity ratios
• Timeliness and completeness of annual filings and confirmation statements
• Changes in creditors and debt aging profile
• Profitability indicators once profit and loss data become available
• Operational factors influencing cash cycle in freight and fuel wholesale sectors
• Directors’ conduct and any changes in key management personnel or ownership structure