ACCOUNTS AND MODELS LTD

Executive Summary

Accounts and Models Ltd has improved its financial position significantly in the most recent year after several years of negative net assets, indicating a potential recovery in solvency. However, its micro-entity status, very limited capital, and absence of employees present liquidity and operational sustainability concerns. Continued regulatory compliance and professional management are positive, but further investigation into the business’s revenue model and financial turnaround is warranted.

ACCOUNTS AND MODELS LTD - Analysis Report

Company Number: 13167614

Analysis Date: 2025-07-29 21:00 UTC

1. Risk Rating: MEDIUM
   Justification: The company has demonstrated a recovery from net liabilities to positive net assets within the latest financial year, indicating improving solvency. However, prior years show sustained negative equity and low asset levels that suggest a fragile financial position. The absence of employees and reliance on micro-entity reporting limit insight into operational scale and sustainability.

2. Key Concerns:

• Historical negative net assets and shareholders’ funds in 2022, 2023, and 2024, revealing past solvency pressures that could impact creditor confidence.
• Very low current asset base and minimal share capital (£100), which may constrain liquidity and ability to absorb financial shocks.
• Lack of employees and limited operational data raises questions about business sustainability and ongoing revenue generation.

3. Positive Indicators:

• Significant improvement in net current assets from a negative £1,840 in 2024 to a positive £2,979 in 2025, indicating better short-term financial health.
• Up-to-date filings with Companies House, with no overdue accounts or confirmation statements, suggesting regulatory compliance and good governance.
• Director’s professional background as a chartered accountant likely supports sound financial management practices.

4. Due Diligence Notes:

• Investigate the source of the turnaround in net assets in 2025 to understand whether it stems from genuine operational profitability, capital injection, or accounting adjustments.
• Review underlying revenue streams, client base, and business model viability given the absence of employees and low asset base.
• Confirm no contingent liabilities or off-balance sheet obligations that might undermine the positive net asset position.
• Assess director’s related party transactions or loans given the director is also the sole occupant of the registered office and sole signatory on filings.