Company Number: 12651929

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

1. Risk Rating: LOW
   The company demonstrates a solid net asset position with no overdue filings, positive net current assets, and a stable shareholder equity base. The absence of audit exemption due to small company status and timely filing supports a low risk profile.

2. Key Concerns:

• Reliance on relatively low cash reserves (£15,884) compared to current liabilities (£51,654), indicating potential liquidity management challenges requiring monitoring.
• Limited share capital (£10) suggests minimal equity buffer, meaning the company’s financial stability relies heavily on retained earnings.
• No publicly disclosed persons with significant control (PSC) data available, which may merit confirmation for governance transparency.

3. Positive Indicators:

• Consistent growth in net assets over recent years, from £10,554 in 2020 to £55,823 in 2024, demonstrating capital retention and business expansion.
• Strong net current assets position (£53,848) as of the latest accounts, indicating the company can cover short-term liabilities comfortably.
• Filing records are up to date with no overdue accounts or confirmation statements, suggesting good regulatory compliance and corporate governance.

4. Due Diligence Notes:

• Review the composition and liquidity of current assets, particularly the high stock levels (£86,618), to assess realizability and inventory management efficiency.
• Clarify the nature of turnover and profitability trends, as abridged accounts omit the profit and loss statement; understanding revenue and cash flow generation is critical.
• Confirm PSC details and ownership structure to ensure full transparency and evaluate potential control risks.
• Investigate the company’s operational model in IT services and retail sectors per SIC codes for sustainability and market positioning.