Company Number: SC671583

Analysis Date: 2025-07-20 11:52 UTC

1. Risk Rating: MEDIUM
   The company shows modest net assets and positive net current assets indicating some short-term liquidity, but overdue filings and a downward trend in net assets raise concerns about financial and compliance discipline.

2. Key Concerns:

• Overdue Accounts and Confirmation Statement filings suggest regulatory compliance risks and potential penalties.
• Declining net assets from £360 in 2022 to £197 in 2024 may point to erosion of capital or profitability challenges.
• Low share capital (£100) and limited employee count (1) may limit operational resilience and raise questions about scalability.

3. Positive Indicators:

• Positive net current assets (£296k in 2024) imply the company can meet short-term liabilities.
• The company has maintained active status since incorporation in 2020 without entering liquidation or administration.
• Fixed assets have remained relatively stable, indicating some investment in tangible resources.

4. Due Diligence Notes:

• Investigate reasons for overdue filings and confirm if penalties or enforcement actions are pending.
• Review detailed profit and loss data and cash flow statements to assess operational performance and sustainability.
• Clarify the nature of creditors due after one year (£802k in 2024) to understand long-term obligations and solvency risk.
• Assess director’s capacity and governance arrangements given the single director structure and small scale.