Company Number: 12830246

Analysis Date: 2025-07-20 12:06 UTC

1. Risk Rating: LOW
   The company demonstrates a positive net asset position with net current assets of £19,860 as of 31 August 2024 and no overdue filings. It is compliant with filing deadlines and shows no signs of insolvency or regulatory issues.

2. Key Concerns:

• Limited scale: As a micro-entity, the financial data is minimal and may not fully capture operational risks.
• Single director and shareholder: Control is concentrated in one individual, which could pose governance risks.
• Limited disclosure: Profit and loss account was not filed, reducing transparency on profitability and cash flow.

3. Positive Indicators:

• Positive net assets: £18,360 shareholders’ funds indicate the company is solvent at the balance sheet date.
• Compliance: Timely submission of accounts and confirmation statement without overdue filings.
• Operational commencement: Increase from nominal net assets in prior years to a meaningful net asset base suggests business activity has ramped up.

4. Due Diligence Notes:

• Review underlying profit and loss performance and cash flow statements to assess sustainability and liquidity beyond balance sheet snapshot.
• Obtain clarity on the nature of current assets (£39,187) for liquidity assessment (e.g., cash versus receivables or stock).
• Investigate governance and operational controls given sole director/owner structure.
• Confirm no contingent liabilities or off-balance sheet risks not disclosed in the micro-entity accounts.
• Understand the business model and market position within the used car sales SIC code (45112) for operational stability.