Company Number: 13588263

Analysis Date: 2025-07-29 13:41 UTC

1. Risk Rating: HIGH
   The company exhibits persistent net liabilities and negative net current assets over multiple years, indicating solvency issues and a weak financial position despite being classified as dormant.

2. Key Concerns:

• Negative Net Assets: Consistently negative shareholders' funds of £7,948 as of August 2024 suggest the company is insolvent on a balance sheet basis.
• Negative Working Capital: Current liabilities exceed current assets by £14,009, indicating potential liquidity problems if the company were to trade actively.
• Dormant Status with Liabilities: Although dormant, the company holds fixed liabilities and negative equity, posing risks if it resumes operations or faces creditor claims.

3. Positive Indicators:

• Compliance with Filing Requirements: Accounts and confirmation statements are filed on time with no overdue filings, indicating good regulatory compliance.
• Small Employee Base: With only 2 employees, cost pressures may be limited, potentially reducing operational burn if it becomes active.
• Micro-entity Reporting: Use of micro-entity provisions reduces administrative burdens and suggests limited operational complexity.

4. Due Diligence Notes:

• Investigate the nature and origin of the liabilities causing negative equity and whether these are contingent or secured.
• Confirm the company’s plans regarding dormancy continuation or reactivation and any associated funding arrangements.
• Review director conduct and any personal guarantees that might affect associated risks.
• Assess the company’s real estate holdings’ valuation and market conditions relating to SIC codes 68100 and 68209 to understand asset liquidity.