Company Number: 15412299

Analysis Date: 2025-07-29 19:50 UTC

1. Risk Rating: HIGH
   Justification: The company exhibits significant solvency and liquidity concerns, with net current liabilities of £326,416 and overall net liabilities of £32,640 despite having intangible fixed assets reported as goodwill. The minimal cash balance (£2) and substantial short-term creditors highlight immediate financial distress.

2. Key Concerns:

• Negative Net Current Assets: Current liabilities (£326,418) far exceed current assets (£2), indicating inability to meet short-term obligations from available liquid resources.
• Net Liabilities Position: Shareholders’ funds are negative (£-32,640), reflecting accumulated losses and erosion of equity capital.
• High Related Party Debt: A large portion of creditors (£230,418) are amounts owed to group undertakings, which may indicate reliance on intra-group financing rather than sustainable operational cash flow.

3. Positive Indicators:

• Intangible Asset Base: The company has goodwill valued at £293,776, suggesting an acquisition or business combination that might provide future revenue streams if the underlying business is viable.
• Timely Filings: Accounts and confirmation statements are up-to-date with no overdue filings, indicating compliance with statutory requirements.
• Experienced Directors: Both directors have been in place since incorporation and hold significant control, which can provide stability in governance.

4. Due Diligence Notes:

• Investigate the nature and recoverability of the goodwill asset, including the rationale for the acquisition and expected economic life.
• Review the terms and conditions of the amounts owed to group undertakings to assess refinancing risk or potential debt forgiveness.
• Assess the company’s business model viability and operational plans to address the severe liquidity shortfall.
• Confirm absence of any director disqualifications or regulatory issues, given the company’s early stage and financial position.
• Examine cash flow forecasts and any external financing arrangements or guarantees.