Company Number: 15139136

Analysis Date: 2025-07-29 15:41 UTC

1. Credit Opinion: DECLINE
   Andromeda Gobal Limited presents significant credit risk primarily due to its extremely weak financial position. The company shows large negative net assets (£-246,450) driven by substantial long-term liabilities (£246,000) vastly exceeding its minimal assets. Negative working capital and net current liabilities (£-1,225) indicate immediate liquidity challenges. Given it is a micro-entity incorporated recently (2023), without trading history or revenue data, there is no evidence of operational cash flows to support debt servicing. The directors have not provided an audit, and the sole current director’s background offers limited insight into financial stewardship. Therefore, extending credit at this stage is not advisable without strong guarantees or additional collateral.

2. Financial Strength:
   The balance sheet reveals very weak financial health. Fixed assets and current assets combined amount to only £1,750, while current liabilities are £2,200 and non-current liabilities stand at £246,000. This imbalance results in negative shareholders’ funds and net assets, indicating insolvency on a balance sheet basis. The company’s micro classification and minimal asset base suggest it is in a start-up phase but burdened with significant debt. No equity injection or retained earnings exist to buffer financial shocks.

3. Cash Flow Assessment:
   With current assets under £1,000 and current liabilities exceeding £2,000, the company lacks sufficient short-term liquidity to cover immediate obligations. The negative net current assets imply working capital insufficiency, raising concerns about the company’s ability to meet operational expenses and service debts as they fall due. Absence of cash flow statements or profit & loss data limits deeper analysis, but the balance sheet alone points to likely cash flow constraints.

4. Monitoring Points:

• Debt repayment progress on the £246,000 long-term liabilities.
• Improvement in net assets and working capital through equity injection or earnings.
• Timely filing of future accounts and confirmation statements to track operational developments.
• Director changes or indications of restructuring to improve financial position.
• Any off-balance-sheet liabilities or contingent risks disclosed in future filings.