Company Number: 12658451

Analysis Date: 2025-07-20 13:21 UTC

1. Risk Rating: LOW
   AFMW LTD demonstrates strong liquidity with net current assets significantly exceeding current liabilities, positive shareholder funds, and no overdue filings. The company operates within a regulated sector (general medical practice) with stable financial footing as per the latest accounts.

2. Key Concerns:

• Limited Share Capital: The nominal share capital is only £102, which may limit financial flexibility and capital buffer.
• High Proportion of Corporation Tax Payable: Creditors include a substantial corporation tax liability (£18,303), which should be monitored to ensure timely payment.
• Director Profile: One director is a student with no stated professional experience; governance and operational oversight should be reviewed to confirm adequate management expertise.

3. Positive Indicators:

• Strong Liquidity Position: Current assets of £129,653 vs. current liabilities of £19,887 as at 30 June 2024, with cash balances increasing to £106,801.
• Consistent Growth: Net current assets and shareholders’ funds have grown significantly over the last 4 years, indicating improving financial health.
• Up to Date Compliance: No overdue accounts or confirmation statements; filings are current with next due dates well in the future.

4. Due Diligence Notes:

• Verify the nature and collectability of trade debtors (£22,750) as this constitutes a significant portion of current assets.
• Assess the company’s profitability and revenue trends since the profit and loss account is not included in the filings.
• Review governance structure and director roles, especially the involvement and responsibilities of the student director to ensure operational stability.
• Confirm tax payment schedule and provisions to mitigate risk of potential tax-related cash flow issues.