Company Number: 13802221

Analysis Date: 2025-07-20 14:48 UTC

1. Risk Rating: HIGH
   The company exhibits negative net current assets and shareholders' funds across the last three years with increasing current liabilities outpacing current assets. The company is reliant on related party loans, indicating potential solvency and liquidity risks.

2. Key Concerns:

• Negative net working capital: Current liabilities exceed current assets by approximately £15,778 as of 31 March 2024, worsening from previous years.
• Reliance on related party loans: £773,425 borrowed from a controlling related party (Apsley House Capital Plc) exposes the company to refinancing and going concern risks.
• Accumulated losses: Shareholders’ funds are negative (£15,780), showing retained losses and no equity buffer.

3. Positive Indicators:

• Current on statutory filings: No overdue accounts or confirmation statements, indicating compliance with filing obligations.
• Directors have maintained control consistently since incorporation, suggesting stable governance.
• Operating in real estate letting (SIC 68209) which can generate steady rental income, although specifics are not disclosed.

4. Due Diligence Notes:

• Investigate the nature and terms of the related party loan for repayment schedules and covenants.
• Review cash flow statements and forecasts to assess liquidity and ability to meet short-term obligations.
• Understand the debtor profile (£1,014,877) to ascertain collectability and any concentration risk.
• Clarify the operational model and revenue streams given the absence of turnover data in the accounts.
• Assess any contingent liabilities or off-balance-sheet commitments not disclosed.