ANDREW CRAIG SS LTD

Executive Summary

Andrew Craig Ss Ltd has shown a marked deterioration in financial position as of March 2024, with negative net current assets and shareholders’ funds indicating heightened solvency and liquidity risk. While the company remains compliant with filing requirements and maintains a stable workforce, the recent financial decline warrants careful investigation into cash flow and capital structure. Prospective investors should conduct detailed due diligence to understand the drivers behind this financial weakening before considering investment.

ANDREW CRAIG SS LTD - Analysis Report

Company Number: 13106691

Analysis Date: 2025-07-20 12:12 UTC

1. Risk Rating: HIGH
   The company shows a negative net current asset position and negative shareholder funds as of the latest financial year end (31 March 2024), indicating potential solvency and liquidity risks.

2. Key Concerns:

• Negative Net Current Assets: Current liabilities (£23,550) exceed current assets (£20,994) resulting in a net current liability of £2,556, which suggests short-term liquidity pressures.
• Negative Shareholders’ Funds: The company’s equity is negative (£-2,556), implying accumulated losses or depletion of capital reserves that may threaten long-term solvency.
• Decline From Previous Positive Position: The prior financial years (2020-2022) showed positive net current assets and shareholders’ funds, indicating a recent and significant deterioration in financial health that warrants scrutiny.

3. Positive Indicators:

• Current Status and Compliance: The company is active with no overdue filings, demonstrating regulatory compliance and current operational status.
• Stable Employee Base: The average number of employees remained stable at 12, suggesting operational continuity despite financial challenges.
• Established Operations: Operating since 2020 and classified as a micro-entity, the company appears to be managing its administrative and reporting obligations effectively.

4. Due Diligence Notes:

• Investigate the cause of the sharp decline in net current assets and shareholders’ funds in the latest period, including any one-off charges, operational losses, or increased liabilities.
• Review cash flow statements and creditor payment terms to assess immediate liquidity risks and the company’s ability to meet short-term obligations.
• Examine any contingent liabilities or off-balance-sheet exposures that may not be reflected in the micro-entity filings.
• Confirm no director disqualifications or legal actions that could impact governance and operational stability.
• Validate whether the company has adequate financing arrangements or plans to restore capital adequacy.