Company Number: 13766709

Analysis Date: 2025-07-29 17:43 UTC

1. Risk Rating: LOW
   ArtRabbit Limited demonstrates a solid liquidity position with net current assets increasing year-over-year and no overdue filings. The company is relatively young but shows positive equity growth and compliance with statutory requirements, indicating low immediate financial risk.

2. Key Concerns:

• Limited Financial History: Incorporated in late 2021, the company has a short operating history, which limits trend analysis and long-term solvency assessment.
• Small Scale Operations: With only one employee reported and minimal share capital (£1,248 called up), the company may be vulnerable to operational risks or dependency on key individuals.
• No Audit and Small Company Regime: The financial statements are unaudited and prepared under small company exemptions, which may limit the depth of financial scrutiny and transparency.

3. Positive Indicators:

• Strong Liquidity Position: Cash holdings increased from £24,485 to £34,366, and net current assets grew from £18,945 to £30,174 between 2022 and 2023, indicating comfortable short-term solvency.
• Compliance and Governance: All filings, including accounts and confirmation statements, are up to date with no overdue filings or penalties noted.
• Equity Growth: Shareholders’ funds increased from £18,945 to £30,174, reflecting retained earnings growth and a strengthening balance sheet.

4. Due Diligence Notes:

• Revenue and Profitability Details: Income statement and turnover figures are not provided; obtaining these will clarify operational performance and sustainability.
• Client and Contract Base: Understanding the revenue sources and client concentration would help assess operational sustainability and revenue risk.
• Director Backgrounds and PSC Influence: While no disqualifications or compliance issues are noted, further checks on directors' reputations and control dynamics could be prudent.
• Pension and Tax Liabilities: Review of taxation and pension contributions as noted in creditors should be examined to ensure no build-up of contingent liabilities.