Company Number: 15022707

Analysis Date: 2025-07-29 13:31 UTC

1. Risk Rating: MEDIUM
   The company is newly incorporated with minimal financial history and modest net current assets (£651). While there is a positive net working capital position, the overall scale and financial depth are limited, which introduces moderate solvency and liquidity risk.

2. Key Concerns:

• Limited Financial History and Scale: Incorporated in July 2023, with only one reported accounting period, limiting the ability to assess operational sustainability and financial trends.
• Low Cash Reserves: Cash at bank is only £358 against current liabilities of £10,028, indicating potential liquidity constraints and reliance on debtor collections or external financing.
• Concentration of Control: Two directors/shareholders hold full control, which may pose governance risks if not balanced by appropriate oversight mechanisms.

3. Positive Indicators:

• Current Assets Slightly Exceed Current Liabilities: Net current assets of £651 suggests the company can meet its short-term obligations at the reporting date.
• No Filing or Compliance Issues: Accounts and confirmation statement are filed timely with no overdue returns or audit exemption compliance issues noted.
• Clear Corporate Structure: Directors and Persons with Significant Control (PSC) are clearly identified with no public record of disqualification or adverse regulatory flags.

4. Due Diligence Notes:

• Investigate the nature and collectability of the £10,321 debtors to confirm liquidity assumptions.
• Review cash flow forecasts and working capital management plans given low cash balances.
• Assess business plan and contracts underpinning the management of real estate activities to evaluate operational sustainability.
• Confirm no contingent liabilities or off-balance sheet obligations exist that could impact solvency.
• Verify directors’ experience and governance practices given concentrated ownership and control.