Company Number: 14027558

Analysis Date: 2025-07-20 16:08 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   ZWBF LIMITED is a micro private limited company operating in the retail mail order and internet sales sector. The company shows a recent increase in current assets but has transitioned to a net negative equity position as of April 2024, primarily due to the introduction of a £50,000 creditor due after one year. The presence of long-term liabilities and a negative shareholders' funds figure indicates some financial strain. However, the company is current on filings and has a single director-owner with full control, suggesting focused management. Approval is recommended with conditions to monitor liquidity and creditor exposures closely.

2. Financial Strength:

• Fixed assets have remained stable around £2,600, indicating no significant investment or disposal.
• Current assets increased significantly from £30,748 to £76,076, which is positive for short-term liquidity.
• Current liabilities slightly increased to £36,641, but the larger change is the recognition of £50,000 in creditors due after one year, raising total liabilities and contributing to negative net assets of £7,980.
• The negative shareholders’ funds reflect accumulated losses or increased liabilities not offset by equity injections. This weakens the company’s capital base and financial resilience.

3. Cash Flow Assessment:

• The company has positive net current assets of £39,435 (£76,076 current assets minus £36,641 current liabilities), indicating adequate working capital to cover short-term obligations.
• However, the introduction of a sizeable long-term creditor implies future cash outflows that may strain cash flow if not managed carefully.
• The filing of accounts on time and minimal employee count (1) imply controlled operational overheads.
• No audit was required, and financial data is unaudited, necessitating cautious interpretation.

4. Monitoring Points:

• Track changes in long-term liabilities and impact on net assets.
• Monitor cash flow statements or bank balances (if available) to ensure ongoing liquidity.
• Watch for timely repayment of the £50,000 creditor to avoid solvency concerns.
• Assess any changes in ownership or director conduct given sole control by one individual.
• Review subsequent filing and financial results for signs of business growth or further financial deterioration.