Company Number: 13595242

Analysis Date: 2025-07-20 11:04 UTC

1. Risk Rating: HIGH
   The company exhibits significant solvency concerns given its negative net assets and liabilities exceeding total assets. The financials indicate a deficit in working capital and overall negative equity, raising questions about the company’s ability to meet obligations.

2. Key Concerns:

• Negative Net Assets: The company reported total net liabilities of £7,535 as of 31 August 2022, indicating insolvency on a balance sheet basis.
• Poor Liquidity Position: Current liabilities (£11,522) far exceed current assets (£327), resulting in a negative net current asset position of -£11,195, signaling potential cash flow difficulties.
• Lack of Operational Scale: The company is categorized as a micro-entity with no employees reported during the period, which may reflect limited business activity and sustainability concerns.

3. Positive Indicators:

• Compliance with Filing Obligations: The company is current with both accounts and confirmation statement filings, demonstrating regulatory compliance.
• Active Status: The company remains active and has not entered liquidation or administration, suggesting ongoing business activity or at least no formal insolvency proceedings.
• Director Continuity: The sole director has been in place since incorporation, providing some governance stability.

4. Due Diligence Notes:

• Investigate subsequent financial statements beyond August 2022 to assess if solvency and liquidity have improved or deteriorated.
• Review business operations and revenue generation given the lack of employees and low asset base, especially considering the industry classification in advertising and mail order retail.
• Confirm whether the company has any off-balance sheet liabilities or related party transactions that may impact financial stability.
• Assess director’s background and any potential personal guarantees or commitments linked to the company’s obligations.
• Clarify the reason for the recent name change in November 2024 and whether it signals restructuring or rebranding efforts.