Company Number: 13019088

Analysis Date: 2025-07-20 18:27 UTC

1. Credit Opinion: DECLINE
   EVERCLEAN (CLACTON) LTD presents a weak credit profile. The company's net current assets are negative by a substantial amount (£125,502 in 2023), reflecting current liabilities vastly exceeding current assets. This indicates liquidity stress and an inability to meet short-term obligations without additional financing or asset sales. The company has consistently negative working capital over the past years, and total net assets are negative (£62,379 in 2023), pointing to a balance sheet deficit. These factors suggest poor repayment capacity and high risk of default on credit facilities.

2. Financial Strength:
   The company is classified as a micro-entity with minimal capital (£100 share capital) and a small fixed asset base declining from £86,256 in 2020 to £63,123 in 2023. The total net liabilities position has worsened from £35,378 net assets in 2020 to a deficit of £62,379 in 2023. The persistent negative net current assets and declining fixed assets indicate erosion of financial strength and weak equity buffer, undermining long-term solvency.

3. Cash Flow Assessment:
   Current asset levels are minimal (£564 in 2023) and sharply down from prior years, while current liabilities remain high (£126,066 in 2023). This severe working capital deficit suggests the company likely struggles to generate sufficient cash from operations to cover immediate liabilities. The low average employee count (2 staff) and lack of cash reserves raise concerns about operational liquidity and the ability to sustain business continuity without external funding.

4. Monitoring Points:

• Monitor improvements or deterioration in net current assets and liquidity ratios.
• Track changes in trade creditors and debtor days for signs of payment delays or collection issues.
• Review any additional capital injections or loan facilities that could support working capital.
• Observe management actions to strengthen the balance sheet or reduce liabilities.