ALLDEV LTD

Executive Summary

ALLDEV LTD currently exhibits significant solvency and liquidity risks, with negative net assets and increased liabilities as of June 2024. While the company maintains regulatory compliance, the financial deterioration raises concerns about its operational sustainability and ability to meet obligations. Further detailed investigation into cash flow, liabilities, and management plans is recommended before considering investment exposure.

ALLDEV LTD - Analysis Report

Company Number: 13451652

Analysis Date: 2025-07-29 14:47 UTC

1. Risk Rating: HIGH
   Justification: The company’s latest financials show a significant deterioration in liquidity and net asset position. As of 30 June 2024, ALLDEV LTD reported current liabilities (£7,450) exceeding current assets (£2,096) by a substantial margin, resulting in negative net current assets and net assets of -£5,354. This negative equity position indicates solvency concerns and potential inability to meet short-term obligations.

2. Key Concerns:

• Solvency Risk: The company’s net liabilities position in the latest accounts signals it may not be able to cover debts, raising risk of insolvency if not addressed promptly.
• Liquidity Issues: Cash holdings have fallen sharply from £4,815 in 2023 to £1,906 in 2024, while current liabilities increased materially. This suggests cash flow stress and potential difficulty in meeting immediate obligations.
• Operational Sustainability: The company has only a single director and employee, with minimal share capital (£1.00), and no audit or detailed financial disclosures. The negative equity and reduced liquidity question the ongoing viability of operations.

3. Positive Indicators:

• Compliance: The company is active and has filed accounts and confirmation statements on time with no overdue filings. This indicates basic regulatory compliance and governance discipline.
• No Related Party Transactions: Absence of related party dealings reduces risk of conflicts of interest or undisclosed liabilities.
• Small Company Filing Regime: The company benefits from simplified reporting requirements which may reduce administrative burden and costs.

4. Due Diligence Notes:

• Investigate the reasons behind the sharp increase in current liabilities and negative equity in the latest year.
• Review cash flow statements and trading performance to assess whether losses are operational or due to one-off factors.
• Confirm the nature of the liabilities and whether any creditor arrangements or restructuring plans are in place.
• Assess the director’s plans to restore solvency or inject further capital, given the minimal share capital and single director structure.
• Evaluate business model sustainability considering limited scale (one employee/director) and industry risks in IT service activities.