Company Number: 13439010

Analysis Date: 2025-07-20 17:16 UTC

1. Risk Rating: HIGH
   The company’s financial position shows a significant deterioration in net current assets and net assets from £15,197 in 2023 to only £1,368 in 2024, indicating a steep decline in financial resources and potential solvency concerns. The minimal share capital (£100) and micro-entity status limit financial resilience and borrowing capacity.

2. Key Concerns:

• Rapid Asset Decline: A decrease of approximately 91% in net current assets within one year raises concerns about operational cash flow and ability to meet short-term obligations despite no current liabilities reported in 2024.
• Minimal Capital Base: Share capital of only £100 and negligible net assets suggest limited financial buffer against unexpected losses or business downturns.
• Reduced Workforce: Average employee count dropped from 2 to 1, which may reflect downsizing or operational difficulties impacting sustainability.

3. Positive Indicators:

• No Overdue Filings: The company’s accounts and confirmation statements are up to date, showing regulatory compliance and good governance in relation to statutory filings.
• No Current Liabilities: As of the latest accounts, there are no reported creditors due within one year, indicating no immediate external debt pressures.
• Active Status with Established Directors: The company is active with consistent director appointments since incorporation, suggesting management continuity.

4. Due Diligence Notes:

• Investigate reasons behind the sharp decline in net current assets and net assets, including reviewing cash flow statements and income statements if available.
• Confirm absence of contingent liabilities or off-balance sheet obligations that may not appear in the balance sheet.
• Assess business model viability given the reduction in staff and micro-entity scale, including client base and order book status.
• Review director backgrounds and any related party transactions for potential risks.
• Monitor future filings for signs of further financial deterioration or late submissions.