Company Number: 13886090

Analysis Date: 2025-07-29 19:16 UTC

1. Risk Rating: HIGH
   The company demonstrates significant solvency and liquidity concerns, with current liabilities vastly exceeding current assets by approximately £133,000, indicating potential difficulty in meeting short-term obligations. The persistent negative working capital over three years without operational revenue or employees raises substantial risk.

2. Key Concerns:

• Negative Net Current Assets: Current liabilities (£139,462) exceed current assets (£6,288) substantially, indicating poor liquidity and potential cash flow problems.
• Lack of Operational Activity: Zero employees and minimal current assets suggest the company may not be actively trading or generating revenue.
• Reliance on Long-Term Fixed Assets: Fixed assets remain constant (£182,318) without apparent income to support liabilities or operational costs, implying possible underutilization or illiquidity of assets.

3. Positive Indicators:

• Compliance with Filing Requirements: The company is current with both accounts and confirmation statement filings, showing governance discipline.
• Stable Shareholders’ Funds: Shareholders’ funds increased modestly from £42,960 to £47,994, indicating some equity retention or capital contribution.
• Clear Control Structure: A single individual holds majority ownership and voting rights, potentially enabling swift decision-making.

4. Due Diligence Notes:

• Investigate the nature and liquidity of fixed assets to assess their realizable value in meeting liabilities.
• Review cash flow statements and any off-balance sheet liabilities or income streams to clarify operational status.
• Verify whether the company is dormant or holding assets for future development, considering absence of employees and operational activity.
• Assess the directors’ plans for addressing the negative working capital and whether external financing or restructuring is underway.
• Confirm if provisions for liabilities (£1,150) relate to imminent obligations that could impact solvency.