Company Number: 14934740

Analysis Date: 2025-07-29 20:22 UTC

1. Risk Rating: HIGH
   Given the company's very recent incorporation, minimal equity, and negative net current assets, there is a high risk from a solvency and liquidity perspective.

2. Key Concerns:

• Negative Net Current Assets: The company shows a net current liability position (£2,717), indicating more short-term liabilities than assets, which is a liquidity red flag.
• Minimal Net Assets / Shareholders’ Funds: Net assets stand at £1, reflecting extremely limited financial buffer and equity base.
• Single Director and Shareholder Control: Xxxxxx Xxxxxxxxname shown to subscribers holds 75-100% shares and voting rights, concentrating control and raising dependency risk on one individual.

3. Positive Indicators:

• No Overdue Filings: Accounts and Confirmation Statement are filed on time, indicating compliance with statutory obligations.
• Micro-Entity Status with Small Operational Scale: The company is structured as a micro entity with only one employee, which limits operational complexity and fixed costs.
• Active Status and Clear Industry Classification: Registered as active in an IT consultancy sector (SIC 62020), which can have low capital intensity and scalability potential.

4. Due Diligence Notes:

• Verify the nature and terms of the current liabilities causing the negative working capital to assess repayment obligations and timing.
• Investigate cash flow statements (if available) or management forecasts to understand liquidity management and funding sources.
• Understand the business model and revenue generation since incorporation in June 2023 to gauge operational sustainability.
• Review director’s background and financial support capacity given sole control and responsibility.