Company Number: 12792103

Analysis Date: 2025-07-19 12:13 UTC

1. Risk Rating: MEDIUM
   Agricultural Support Ltd shows a modest net asset position and positive working capital as of the latest accounts, indicating an ability to meet short-term obligations. However, the relatively low cash balance and limited financial scale, combined with a significant drop in net assets compared to the prior year, suggest caution.

2. Key Concerns:

• Declining Net Assets: Net assets decreased from £24,119 in 2021 to £11,709 in 2023, indicating a reduction in retained earnings or profitability that may affect long-term financial stability.
• Minimal Share Capital: Share capital is only £1, which may reflect limited equity funding and potential vulnerability to financial shocks.
• Single Employee Operation: The company employs only one person (a director), which might raise concerns about operational capacity and sustainability.

3. Positive Indicators:

• Current Solvency: Positive net current assets (£11,709) and cash (£18,206) exceed current liabilities, demonstrating sufficient short-term liquidity.
• No Overdue Filings: Both accounts and confirmation statements are up to date, indicating regulatory compliance and good governance practices.
• Going Concern Affirmed: Director’s statement confirms no material uncertainties about ongoing operations.

4. Due Diligence Notes:

• Profit and Loss Details: The profit and loss account was not filed with Companies House; obtaining and reviewing this would clarify profitability trends.
• Cash Flow Analysis: Investigate cash flow patterns over the past periods to assess liquidity volatility and working capital management.
• Director and Ownership Changes: The transition in directors and ownership control in 2023 warrants review to understand any strategic or operational impacts.
• Tax Liabilities: Current liabilities include a corporation tax creditor of £5,657; verify the status of tax payments and potential risks related to tax compliance.
• Business Model Viability: Given the SIC codes related to construction and development, assess project pipeline and revenue sources for sustainability.