Company Number: 14062547

Analysis Date: 2025-07-29 15:52 UTC

1. Risk Rating: HIGH
   Justification: The company exhibits significant liquidity strain with current liabilities far exceeding current assets, resulting in negative net current assets. The minimal cash on hand at £1,641 against current liabilities of £171,539 as of 30 April 2024 indicates a high risk of inability to meet short-term obligations. The very low net assets and shareholders' funds (£257) further suggest fragile financial stability.

2. Key Concerns:

• Liquidity Deficit: Negative net current assets (£-52,397) and minimal cash reserves highlight potential cash flow problems.
• High Leverage and Debt Concentration: The company carries substantial creditors due within and beyond one year, with current liabilities of £171,539 and long-term creditors of £171,539, demonstrating a heavy debt burden relative to its asset base.
• Director Turnover and Control Risks: Recent resignation of a director holding significant control (Mark Anthony Gray) and short-term appointment/resignation of another director (Jill Mackey) may indicate instability in management.

3. Positive Indicators:

• No Overdue Filings: Compliance with filing deadlines for accounts and confirmation statements reduces regulatory risk.
• Tangible Fixed Assets: The company holds tangible fixed assets valued at £224,193, which could potentially be leveraged or sold to improve liquidity.
• Clear Ownership Structure: Two known persons with significant control, enhancing transparency.

4. Due Diligence Notes:

• Investigate the nature and terms of the creditors (both short and long-term) to assess refinancing or restructuring possibilities.
• Clarify the reasons for director resignations and any impact on operational continuity and governance.
• Review cash flow forecasts and business plans to understand how the company intends to address liquidity challenges.
• Verify the valuation and marketability of fixed assets to determine their potential role in improving solvency.
• Confirm whether the company is currently trading profitably or if losses are ongoing, given the limited disclosures.