Company Number: 14251752

Analysis Date: 2025-07-29 19:15 UTC

1. Credit Opinion: DECLINE
   YOUR BARGAIN LTD shows a weak financial position as at the latest accounts date (31 July 2024). The company has net current liabilities of £7,069 and negative net assets of £1,331, indicating balance sheet insolvency. Despite some growth in fixed assets and current assets, these are overshadowed by rising current liabilities. The micro-entity has limited equity and working capital to support operations or service debt. Given the short trading history (incorporated mid-2022) and no audited accounts, the financial strength and repayment capacity are insufficient to warrant credit approval.

2. Financial Strength:
   The balance sheet reveals a troubling trend. While fixed assets increased to £5,738 and current assets to £14,426, current liabilities rose sharply to £21,495, resulting in a net current liabilities position and negative shareholder’s funds (£-1,331). The company’s net assets have deteriorated from £1 in 2023 to negative £1,331 in 2024. This signals erosion of capital and possible liquidity strain. The micro-entity classification limits disclosure, but the figures suggest the business is not yet self-sustaining financially.

3. Cash Flow Assessment:
   Cash on hand is minimal (only £1 in 2023; cash specifically not shown for 2024 but current assets include receivables/inventory). The working capital deficit suggests a liquidity gap that could impair day-to-day operations and debt servicing. The increase in liabilities due within one year indicates potential pressure on short-term cash resources. Without evidence of positive cash flow or external funding, the company’s ability to meet immediate obligations appears weak.

4. Monitoring Points:

• Watch for improvements in net current assets and return to positive net assets.
• Monitor cash flow statements closely to assess liquidity trends.
• Track turnover and profitability growth to determine if operational performance supports financial recovery.
• Review any new financing or capital injections that could improve balance sheet strength.
• Observe director stability and governance as a single director holds significant control.