Company Number: 14480558

Analysis Date: 2025-07-20 13:11 UTC

1. Risk Rating: HIGH
   Justification: The company's financial position shows extremely limited net current assets (£40) and minimal shareholders' funds, barely above zero. Operating as a micro-entity with only one employee and no audit, the firm’s financial stability and capacity to meet obligations appear very fragile.

2. Key Concerns:

• Minimal Working Capital: The net current assets of £40 indicate almost no buffer to cover short-term liabilities, posing a liquidity risk.
• Very Limited Operational Scale: With only one employee and very low asset base, the business scale is minimal, raising sustainability questions.
• Lack of Financial Detail and Audit: As a micro-entity exempt from audit, there is limited transparency on operational performance, cash flow, and profitability.

3. Positive Indicators:

• Compliance with Filing Requirements: The company’s accounts and confirmation statements are up to date, with no overdue filings.
• Active Status and Single Director Control: The company is active, with a single director owning 75-100% of shares, which may facilitate swift decision-making.
• No Insolvency or Liquidation Status: The company is not in liquidation or administration, indicating no formal distress proceedings.

4. Due Diligence Notes:

• Verify the nature of current assets (£10,495) to assess liquidity quality (e.g., cash vs. receivables or inventory).
• Assess cash flow statements or bank statements (if available) to understand operational cash generation and short-term obligations coverage.
• Investigate the business model and revenue streams given the micro scale and limited financial data to evaluate sustainability prospects.
• Confirm absence of contingent liabilities or off-balance sheet risks not captured in the micro-entity accounts.
• Review director background and any external credit or payment history for the company to detect emerging risks.