YB ADVISORY LIMITED

Executive Summary

YB Advisory Limited has demonstrated solid balance sheet growth with strong liquidity and positive net current assets, supporting its ability to meet short-term liabilities. As a micro entity with limited trading history, credit approval is recommended with ongoing monitoring of financial performance and compliance. Management appears stable, and there are no signs of financial distress at present.

YB ADVISORY LIMITED - Analysis Report

Company Number: 12441011

Analysis Date: 2025-07-29 16:56 UTC

1. Credit Opinion: APPROVE with caution. YB Advisory Limited is a micro private limited company engaged in management consultancy activities. The company shows a strong improvement in financial position in its most recent year, with net current assets of £146,251 as of 31 July 2024, indicating adequate short-term liquidity to meet obligations. The company is active and compliant with filing deadlines, and management appears stable with two directors who also control the company ownership. However, limited trading history and small scale (micro entity) suggest monitoring is prudent before extending significant credit.

2. Financial Strength: The balance sheet shows a marked improvement from prior years where net assets were nominal (£1). For the year ended 31 July 2024, total assets less current liabilities stand at £148,500, reflecting growth and capital accumulation. Fixed assets are minimal (£2,249), consistent with consultancy operations. The share capital is nominal (£10). The equity base is solid relative to size, with positive working capital supporting operational resilience. No long-term liabilities are disclosed, reducing financial risk.

3. Cash Flow Assessment: Current assets of £257,873 against current liabilities of £111,622 yield net current assets of £146,251, indicating good short-term liquidity and working capital sufficiency. This suggests the company can comfortably service short-term debts and operational expenses. The absence of audit and limited disclosures restrict cash flow analysis, but the current ratio (approx. 2.3x) is healthy for a micro company. Cash flow from operations is not directly disclosed and should be monitored via future filings.

4. Monitoring Points:

• Continued growth in net current assets and shareholders’ funds to confirm financial trajectory.
• Timely filing of accounts and confirmation statements to maintain compliance.
• Watch for any increase in liabilities or changes in working capital ratios.
• Monitor director and ownership changes to assess management stability.
• Review any future profit and loss data when available to evaluate profitability and cash generation.