Company Number: 14663883

Analysis Date: 2025-07-29 18:13 UTC

1. Risk Rating: HIGH
   Justification: The company exhibits significant liquidity and solvency concerns, with negative net current assets of over £2 million and net assets barely above zero (£1,376). The large current liabilities relative to minimal current assets and equity pose a material risk to its ability to meet short-term obligations.

2. Key Concerns:

   • Liquidity Shortfall: Current liabilities (£2,040,543) vastly exceed current assets (£27,226), resulting in a negative net working capital position of approximately £2 million, indicating immediate cash flow stress.
   • High Leverage and Solvency Risk: Total liabilities due after one year (£1,587,716) nearly equal total assets less current liabilities (£1,589,092), leaving negligible equity buffer and exposing the company to solvency risk.
   • Lack of Audit and Limited Financial Transparency: The company is exempt from audit under micro-entity provisions, and the accounts are unaudited, limiting the reliability and depth of financial information available for assessment.

3. Positive Indicators:

   • Asset Base Comprised of Fixed Assets: The company holds significant fixed assets (£3.6 million), presumably real estate given the SIC codes, which may be a source of long-term value and collateral.
   • No Filing or Statutory Compliance Issues: The company is active, with no overdue accounts or confirmation statements, indicating compliance with Companies House filing requirements.
   • Clear Ownership and Control: Single director and 100% ownership by Mr. Mehmet Aydemir, suggesting streamlined decision-making and governance.

4. Due Diligence Notes:

   • Assess the nature and liquidity of fixed assets: Determine if these assets can be readily monetized or leveraged to alleviate liquidity issues.
   • Review detailed creditor composition and repayment terms: Understand the structure of the large current and long-term liabilities and any covenant or refinancing risks.
   • Investigate operational cash flows and business plan: As a newly incorporated entity (2023), review forecasts, revenue generation capability, and business model sustainability.
   • Confirm director’s financial backing or external guarantees: Given the weak equity base, evaluate if the director or related parties have committed funds or support to the company.
   • Examine any contingent liabilities or off-balance sheet risks: Particularly relevant in property dealing and letting businesses.