Company Number: 14722420

Analysis Date: 2025-07-20 18:07 UTC

1. Credit Opinion: DECLINE

ZA24 CONSULTANCY LTD is a newly incorporated micro-entity operating since March 2023. The latest accounts as of 31 March 2024 show very limited financial activity and weak liquidity. Current assets (£159) are significantly below current liabilities (£2,478), resulting in a negative net current asset position (-£2,319). Although net assets are positive (£481) due to fixed assets, the working capital deficiency and minimal operational scale (one employee) indicate the company currently lacks the financial capacity to support additional credit facilities. The company’s short trading history and limited financial data also pose a high risk. Without evidence of improving cash flow or stronger asset base, extending credit would not be prudent.

2. Financial Strength:

The balance sheet reveals minimal fixed assets (£2,800) and negligible current assets, insufficient to cover current liabilities. The net asset value (£481) is marginal and reflects a micro-entity with limited capital. Shareholders’ funds entirely represent this small equity injection by the sole shareholder/director, Mr. Zain Abid Adam. There are no disclosed reserves or retained earnings. The financial structure is very fragile, with no buffer to absorb operational shocks or downturns.

3. Cash Flow Assessment:

Working capital is severely negative, with current liabilities exceeding current assets by over £2,300. Cash on hand or equivalents are not explicitly stated but implied to be very low. Such liquidity constraints suggest difficulties meeting short-term obligations without external funding. The micro-entity status and single-employee operation suggest limited cash generation capability. No evidence of positive cash flow or profitability is available to mitigate liquidity risk.

4. Monitoring Points:

• Track subsequent accounts filings for improved liquidity, profitability, and asset growth.
• Monitor trade creditors and any overdue payments to assess payment discipline.
• Watch cash flow statements (if available in future filings) for operational cash generation.
• Evaluate any changes in director/shareholder support or external funding arrangements.
• Confirm absence of adverse director conduct or credit events.