Company Number: 14189477

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

1. Risk Rating: HIGH
   The company exhibits significant deterioration in net current assets and net assets from £24,282 in 2023 to just £109 in 2024, indicating acute solvency and liquidity pressures. The near depletion of cash reserves and a rise in current liabilities to nearly match current assets heighten the risk of inability to meet short-term obligations.

2. Key Concerns:

• Sharp Decline in Net Current Assets: Net current assets dropped from £24,282 to £109 within one year, signaling a critical reduction in working capital.
• Cash Reduction & Liquidity Constraints: Cash on hand decreased substantially from £36,724 to £16,534, leaving minimal buffer against liabilities of £16,425.
• Rising Short-Term Creditors: Current liabilities have increased and are almost equal to current assets, creating tight liquidity conditions and potential cash flow difficulties.

3. Positive Indicators:

• Compliance with Filings: The company is up to date with both accounts and confirmation statement filings, showing no governance or regulatory compliance issues.
• Stable Ownership and Management: Directors and persons with significant control have remained consistent since incorporation, suggesting stable leadership.
• Small Company Audit Exemption: The company qualifies for audit exemption, reducing administrative burden and costs.

4. Due Diligence Notes:

• Investigate the nature and cause of the sharp increase in current liabilities, especially the "other creditors" which rose markedly from £3,515 to £16,315.
• Clarify if there are any outstanding non-trade related debts or intercompany borrowings contributing to current liabilities.
• Assess the company’s revenue streams and profitability trends since turnover and detailed profit figures are not disclosed.
• Confirm if there are any contingent liabilities or impending financial commitments not reflected in the current accounts.
• Review banking arrangements and any overdraft or loan facilities to understand liquidity support mechanisms.
• Evaluate the business’s operational model and sustainability given the SIC code 51210 (Freight air transport), which can be capital intensive.