Company Number: 14501905

Analysis Date: 2025-07-29 12:49 UTC

1. Risk Rating: MEDIUM
   Justification: The company is newly incorporated (since late 2022) with a small asset base and limited trading history. While it shows positive net current assets and no overdue filings, the minimal cash balance and reliance on debtors suggest potential liquidity constraints and operational infancy risks.

2. Key Concerns:

• Liquidity Risk: Extremely low cash balance (£11) relative to current liabilities (£6,496) indicates limited immediate cash availability to meet short-term obligations. Heavy reliance on debtors (£9,284) creates risk if collections are delayed or impaired.
• Operational Scale and Stability: Only one employee and very small net assets (£2,799) point to a micro-scale operation that may face challenges scaling or sustaining operations over time, especially given lack of profit and loss data filed.
• Limited Financial Transparency: Accounts are unaudited and prepared under small companies exemption with no filed profit and loss account, restricting visibility into profitability and cash flow trends. This impairs comprehensive risk assessment.

3. Positive Indicators:

• Filing Compliance: No overdue filings for accounts or confirmation statements, indicating good regulatory compliance and governance discipline.
• Positive Net Current Assets: Working capital (net current assets) of £2,799 is positive, suggesting current assets exceed liabilities, albeit marginally.
• Full Control by Director/PSC: Single owner/director structure simplifies governance and decision-making, reducing potential conflicts.

4. Due Diligence Notes:

• Verify the nature and collectability of debtors (£9,284) to assess liquidity realism.
• Obtain or request management accounts or cash flow forecasts to understand operational viability and future funding needs.
• Confirm absence of contingent liabilities or off-balance-sheet debts.
• Assess strategic plans for growth and sustainability given the micro scale and limited asset base.
• Review director background for any adverse records or reputational risks.