Company Number: 14837071

Analysis Date: 2025-07-29 16:06 UTC

1. Risk Rating: MEDIUM
   The company is newly incorporated with a micro-entity filing status, showing very modest net assets (£592) and significant liabilities (£50,000 creditors falling due after one year). While current assets exceed current liabilities, the high level of long-term liabilities relative to net assets poses a solvency concern.

2. Key Concerns:

• Solvency Pressure: Net assets barely positive at £592 with a substantial £50,000 creditor balance due after one year indicates thin equity and potential solvency risk if liabilities crystallize.
• Leverage and Debt Structure: The company has long-term creditors almost equal to total assets less current liabilities, which may strain future cash flows and operational flexibility.
• Limited Financial History: Incorporated in 2023, Baltic Leics Ltd lacks a track record, making it difficult to assess operational sustainability or profitability trends.

3. Positive Indicators:

• Positive Working Capital: Net current assets of £43,020 suggest the company can currently meet short-term obligations without liquidity stress.
• No Overdue Filings: Accounts and confirmation statements are up to date, reflecting good regulatory compliance and governance practices.
• Clear Ownership and Control: The company has a single director with full control and a majority shareholder entity, which may simplify decision-making and accountability.

4. Due Diligence Notes:

• Investigate the nature and terms of the £50,000 long-term creditors to understand repayment schedules and associated risks.
• Review cash flow statements (if available) or management projections to assess liquidity sustainability beyond the balance sheet snapshot.
• Examine the business plan and market positioning given the retail fruit and vegetable sector classification to evaluate operational viability.
• Confirm any contingent liabilities or off-balance sheet obligations that might not appear in micro-entity accounts.