ATLAS 365 SOLUTIONS LTD

Executive Summary

Atlas 365 Solutions Ltd is a recently formed small private company operating in the construction installation sector. Its latest financials reveal significant liquidity and solvency challenges with negative net assets and working capital deficits. While compliance and ownership structure are positive, substantial risks remain regarding its ability to meet obligations and sustain operations without external support.

ATLAS 365 SOLUTIONS LTD - Analysis Report

Company Number: SC751846

Analysis Date: 2025-07-19 12:22 UTC

1. Risk Rating: HIGH
   The company exhibits significant solvency and liquidity risks, evidenced by net current liabilities of £208,068 and net liabilities of £188,441 as of the latest financial year end. This indicates it is unable to cover its short-term obligations with current assets and is overall insolvent on a balance sheet basis.

2. Key Concerns:

• Negative Working Capital: Current liabilities (£365,739) substantially exceed current assets (£157,671), indicating potential cash flow stress and difficulty meeting short-term debts.
• Net Liabilities and Negative Shareholders’ Funds: Shareholders’ funds of -£188,451 signal accumulated losses and an erosion of equity, raising questions about the company’s sustainability without external funding or capital injection.
• Limited Operating History and Scale: Incorporated in late 2022 with only one employee and minimal fixed assets, the company’s capacity to generate future profits and stabilize operations remains unproven.

3. Positive Indicators:

• Timely Filings: The company’s accounts and confirmation statements are up to date and not overdue, reflecting compliance with statutory requirements.
• Single Controlling Shareholder: The founder/director holds full ownership and control, which may facilitate quicker decision-making and capital support if required.
• Clear Accounting Policies: The accounts prepared under FRS 102 for small entities show transparency and adherence to accounting standards.

4. Due Diligence Notes:

• Investigate the nature of the £134,530 debtors: assess collectability and aging to evaluate liquidity risks more precisely.
• Clarify the composition of the £365,739 current liabilities, including any related party loans or short-term borrowings.
• Review cash flow projections and funding arrangements to understand how the company plans to address its current liabilities and negative equity.
• Understand the business model and contract pipeline in the “Other construction installation” sector to assess operational sustainability and revenue prospects.
• Confirm if any director loans or additional capital injections are planned or have occurred post year-end.