Company Number: 13802143

Analysis Date: 2025-07-29 18:46 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   YOURS LINK LIMITED is a micro-entity operating since December 2021 in real estate management and business support services. The company shows positive net current assets but a negative overall net asset position due to long-term liabilities exceeding total assets. This indicates a leveraged balance sheet which poses moderate risk. However, the company is current with filings and has a recently appointed director controlling significant ownership, suggesting active management. Conditional approval is recommended with ongoing monitoring of debt servicing and profitability improvements.

2. Financial Strength:

• Fixed assets are minimal (£5,368), reflecting low capital intensity.
• Current assets increased substantially from £28k in 2022 to £323k in 2023, indicating improved liquidity or working capital management.
• Current liabilities also rose markedly to £261k from £5.5k, driven by short-term debt or payables.
• Net current assets remain positive at £61k, which supports short-term obligations coverage.
• However, long-term creditors of £132k push total liabilities above total assets, resulting in negative net assets of £65k.
• Shareholders’ funds are negative, reflecting accumulated losses or funding through debt rather than equity.

3. Cash Flow Assessment:

• The significant increase in current assets vs. liabilities suggests improved liquidity and short-term cash availability.
• Positive net current assets imply the company can meet short-term liabilities without distress.
• The negative net asset position and sizeable long-term creditors highlight reliance on external financing; cash flow from operations should be closely reviewed to ensure sustainable debt servicing.
• Absence of audit and micro-entity status limit detailed insight into cash flow from operations and profitability.

4. Monitoring Points:

• Track working capital trends and ensure net current assets remain positive.
• Monitor long-term debt levels and repayment schedules to avoid solvency issues.
• Review profitability and cash flow generation in subsequent periods to support balance sheet repair.
• Observe director and ownership changes that might impact governance or strategic direction.
• Confirm timely filing of accounts and statutory returns to maintain compliance.