WOLF EVENT SECURITY LTD

Executive Summary

Wolf Event Security Ltd is a micro-entity in its first year of trading with a positive but very modest net asset base and minimal working capital. The company’s tight liquidity position suggests credit approval should be conditional on further financial development and monitoring. Continued assessment of trading results and cash flow will be critical to confirm repayment capacity as the business matures.

WOLF EVENT SECURITY LTD - Analysis Report

Company Number: 15076310

Analysis Date: 2025-07-20 14:58 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Wolf Event Security Ltd is a newly incorporated micro-entity with minimal financial history, which limits a full credit assessment. The balance sheet shows a positive net asset position, but net current assets are marginal (£9), indicating very limited working capital. The company's ability to meet short-term obligations is tight, suggesting potential liquidity risk if cash inflows are delayed. Approval is recommended with conditions such as ongoing monitoring of trading performance, timely filing of future accounts, and possibly requiring personal guarantees or collateral until a more robust financial track record is established.

2. Financial Strength:

• Total net assets stand at £1,169, derived primarily from fixed assets (£1,160) and a small net current asset position (£9).
• Current liabilities (£4,694) nearly equal current assets (£4,703), leaving negligible working capital buffer.
• Shareholders’ funds reflect the initial capital invested, with no retained earnings or reserves disclosed.
• The micro-entity status limits the detail available; no profit and loss figures were provided, restricting profitability and cash flow analysis.

3. Cash Flow Assessment:

• Current assets primarily consist of cash or receivables close to liabilities, indicating tight liquidity.
• The company employs 2 persons, suggesting low fixed overheads, which may help conserve cash.
• Absence of profit and loss data prevents detailed cash generation analysis but the minimal net current assets imply minimal operating cushion.
• Early stage of trading and small size indicate potential vulnerability to cash flow disruptions.

4. Monitoring Points:

• Future account filings to assess revenue growth, profitability, and cash flow trends.
• Changes in working capital components, especially receivables and payables turnover.
• Management’s ability to increase equity or secure external funding to support growth and liquidity.
• Directors’ conduct and any changes in ownership or control.
• Industry conditions in private security, given competitive and regulatory factors.