ARJUN & AISHWARYA IT SOLUTIONS LTD

Executive Summary

ARJUN & AISHWARYA IT SOLUTIONS LTD presents as a financially stable small private IT consultancy with strong working capital and compliance. The company’s low employee count and cash reduction warrant further operational and cash flow review. Overall, the risk profile is low but merits additional due diligence on business activities and governance structure.

ARJUN & AISHWARYA IT SOLUTIONS LTD - Analysis Report

Company Number: 13504140

Analysis Date: 2025-07-29 14:24 UTC

1. Risk Rating: LOW
   The company exhibits strong net current assets relative to liabilities, no overdue filings, and a positive equity position. These factors indicate a low risk of insolvency or liquidity issues based on the latest available data.

2. Key Concerns:

• Zero Employees: The company reports no employees, which may raise questions about operational capacity or reliance on subcontractors or directors themselves for activities.
• Declining Cash Balance: Cash decreased significantly from £76,670 in 2023 to £37,833 in 2024, which could impact short-term liquidity if not managed carefully.
• Reliance on Few Directors/Controllers: With only two directors and a single significant controller holding substantial voting rights, governance and succession risk may be higher than in more diversified companies.

3. Positive Indicators:

• Strong Working Capital: Net current assets increased slightly to £125,106 in 2024 from £121,480 the prior year, indicating a solid liquidity cushion.
• Consistent Net Assets Growth: Net assets rose from £72,520 in 2021 to £126,084 in 2024, reflecting retained earnings accumulation and potential profitability.
• Up-to-Date Filings: Both annual accounts and confirmation statements are filed on time with no overdue notices, demonstrating compliance and good governance practices.

4. Due Diligence Notes:

• Clarify Operational Model: Investigate the nature of the company’s IT consultancy and software development activities given zero employees are reported. Confirm whether services are delivered by directors or outsourced.
• Examine Cash Flow Trends: Assess the reasons behind the cash reduction in 2024 and confirm ongoing cash management and funding sources.
• Review Directors’ Backgrounds: Verify any potential undisclosed risks related to directors’ conduct or financial history to rule out governance concerns.
• Confirm Revenue and Profitability: Absence of turnover or profit figures in the abridged accounts limits insight into operational sustainability. Request fuller financials or management accounts if possible.