Company Number: 13155682

Analysis Date: 2025-07-20 13:50 UTC

1. Risk Rating: HIGH
   The company exhibits a negative net asset position with worsening liquidity indicators in the most recent year. The micro-entity financial statements show current liabilities exceeding current assets by £726 as of January 2024, indicating potential solvency issues.

2. Key Concerns:

• Negative Net Assets & Working Capital Deficit: The balance sheet shows net liabilities of £726 at the latest filing, a deterioration from previous years, suggesting the company’s liabilities exceed its assets.
• Declining Current Assets: A sharp reduction in current assets from £55,044 in 2023 to £859 in 2024 raises liquidity concerns, indicating possible cash flow stress or asset depletion.
• Concentration of Control & Director Changes: The company has significant ownership concentration (75-100% shares held by individual PSCs), coupled with multiple director resignations and appointments within a short timeframe, which could impact governance and operational stability.

3. Positive Indicators:

• Compliance with Filings: The company is current with its annual accounts and confirmation statement submissions, indicating regulatory compliance.
• Micro-entity Status: The company operates within a small scale, which may imply limited operational complexity and correspondingly lower risk exposure.
• Director with Finance Background: Presence of a finance director currently appointed may support better financial oversight.

4. Due Diligence Notes:

• Investigate the cause of the drastic decline in current assets between 2023 and 2024.
• Review cash flow statements and creditor payment history to assess ongoing liquidity and creditor relations.
• Examine the impact of director turnover on company strategy and control, including any related party transactions given the overlapping control profiles of PSCs.
• Assess any contingent liabilities or off-balance sheet obligations not reflected in micro-entity accounts.
• Validate operational business activities and revenue streams to confirm sustainability given the small employee base and limited asset base.