Company Number: 13827134

Analysis Date: 2025-07-20 12:53 UTC

1. Risk Rating: HIGH
   The company shows a negative net asset position and current liabilities exceeding current assets, indicating financial distress and potential solvency risk.

2. Key Concerns:

• Negative Net Assets: Net assets have deteriorated to -£2,646 as of January 2024, worsening from -£2,264 in the prior year, signaling accumulated losses or over-leverage.
• Liquidity Deficit: Current assets (£181) are significantly lower than current liabilities (£960), resulting in a negative net working capital of -£779 which raises concerns about meeting short-term obligations.
• High Long-Term Creditors: Creditors due after one year stand at £241,733, exceeding the fixed assets of £239,866, suggesting the company is highly leveraged with liabilities exceeding tangible asset backing.

3. Positive Indicators:

• Timely Filings: No overdue accounts or confirmation statements, demonstrating compliance with statutory filing requirements.
• Stable Fixed Assets: Fixed assets remain consistent year-on-year at £239,866, which may represent owned real estate given the SIC codes.
• Experienced Director and PSCs: The director and persons with significant control are identified, with no disqualifications or adverse records evident.

4. Due Diligence Notes:

• Investigate the nature and terms of creditors due after more than one year to understand debt structure and repayment obligations.
• Review cash flow statements and operational income to assess ability to service debts and generate sustainable revenue.
• Confirm the valuation and liquidity of fixed assets, particularly real estate holdings, for potential collateral or sale value.
• Assess whether the negative equity position has implications for creditor protections or triggers any covenants.
• Clarify the operational model and revenue streams given the minimal current assets and reliance on fixed assets.