Company Number: 13596004

Analysis Date: 2025-07-29 15:52 UTC

1. Risk Rating: HIGH
   The company exhibits significant solvency and liquidity concerns evidenced by severely negative shareholders' funds and current liabilities vastly exceeding current assets. The absence of employees and minimal tangible assets further elevate operational risk.

2. Key Concerns:

• Negative Equity Position: Shareholders’ funds are negative (£-10,191 as of 2023), indicating accumulated losses and insolvency risk.
• Liquidity Shortfall: Current liabilities (£36,893) far exceed current assets (£2), suggesting inability to meet short-term obligations without additional financing.
• No Employees and Limited Operations: The company reports zero employees and minimal current assets, raising questions about ongoing business viability and revenue generation.

3. Positive Indicators:

• Timely Filings and Compliance: Accounts and confirmation statements are filed on time, indicating regulatory compliance and governance discipline.
• Ownership Structure: Three persons with significant control, each holding between 25-50% shares, suggest stable ownership without immediate control disputes.
• Exemption from Audit: Micro-entity status reduces administrative burden, appropriate for small scale operations.

4. Due Diligence Notes:

• Investigate the nature and collectability of the £27,400 prepayments and accrued income to assess if these can be converted into liquid funds.
• Review cash flow statements and bank balances not disclosed here to determine short-term liquidity beyond reported current assets.
• Clarify business model and revenue streams given zero employees and limited operational scale to assess future sustainability.
• Examine director turnover and impact of recent resignation on management continuity.
• Assess any contingent liabilities or off-balance-sheet obligations not reflected in the micro-entity accounts.