Company Number: 13708759

Analysis Date: 2025-07-20 17:37 UTC

1. Risk Rating: LOW
   The company shows a strong net current asset position and positive net assets with no overdue filings or signs of financial distress. The micro-entity status and exemption from audit are consistent with the company size and age.

2. Key Concerns:

• Dependence on a very small team (2 employees including directors) may present operational risk if key personnel leave.
• Lack of audit and limited financial disclosures due to micro-entity status restricts depth of financial insight.
• Change in directorship with one director resigning recently (May 2024) could indicate governance or strategic shifts requiring monitoring.

3. Positive Indicators:

• Healthy working capital position: Net current assets increased significantly from £163k (2022) to £284k (2023), indicating good liquidity.
• Growing net assets from £169k to £287k year-on-year demonstrate retained earnings or capital injection.
• No overdue accounts or confirmation statements; compliance with filing requirements is up to date.
• The majority shareholder/director holds full control, providing clear governance and decision-making authority.

4. Due Diligence Notes:

• Review underlying cash flow statements or bank reconciliations to confirm liquidity beyond balance sheet figures.
• Understand the reason for director resignation and impact on company operations or strategy.
• Assess customer concentration and revenue sustainability given the company’s small scale and niche in video production (SIC 59112).
• Confirm any contingent liabilities or off-balance sheet risks not disclosed in micro-entity accounts.
• Evaluate the company’s business pipeline and client contracts to gauge operational stability.