Company Number: 15164096

Analysis Date: 2025-07-20 18:45 UTC

1. Risk Rating: HIGH
   Justification: The company exhibits negative net assets and net current liabilities exceeding £151,000 shortly after incorporation. The extremely low liquidity position (cash £68) versus current liabilities £151,182 indicates significant solvency and liquidity risk.

2. Key Concerns:

• Negative net assets (£-114) and negative shareholders’ funds (£-115) shortly after incorporation suggest undercapitalization and financial distress risk.
• Severe liquidity shortfall with current liabilities of £151,182 against cash of only £68 raises concerns about the company’s ability to meet short-term obligations.
• The company’s business model (buying and selling own real estate) typically requires substantial capital and cash flow; lack of turnover data and minimal assets beyond one property acquisition limit visibility on operational sustainability.

3. Positive Indicators:

• The company is compliant with filing deadlines and is not overdue in accounts or confirmation statements, suggesting governance and regulatory compliance are being maintained.
• Ownership and control are concentrated in a single director and PSC, which can facilitate rapid decision-making and streamlined management.
• The tangible fixed asset (£151,000) represents a property investment, a potentially valuable asset if market conditions are favorable.

4. Due Diligence Notes:

• Investigate the nature of the £151,182 in current liabilities—creditors and other creditors breakdown—and terms for repayment or refinancing options.
• Confirm whether the property asset is freehold or leasehold, its valuation basis, and any associated encumbrances or liens.
• Review the company’s business plan, funding arrangements, and projected cash flows to assess how it intends to resolve the liquidity gap and sustain operations.
• Evaluate the director’s background and financial standing, given sole control and responsibility.
• Monitor for future filings to track changes in financial position and operational progress.