Company Number: 14356576

Analysis Date: 2025-07-19 12:34 UTC

1. Risk Rating: HIGH
   The company exhibits significant solvency and liquidity risks, evidenced by persistent and growing net liabilities and current liabilities that vastly exceed current assets.

2. Key Concerns:

• Negative Net Assets and Working Capital: The company has net liabilities of approximately £75,783 as of 30/09/2024, worsening from £30,841 the prior year, with current liabilities more than twelve times the cash available.
• Director’s Advances and Credit: The director has an outstanding creditor balance of £70,796, which may indicate reliance on director loans to fund operations, posing risks if repayment or additional funding is not forthcoming.
• Sustainability of Operations: The company has recorded substantial losses (£44,942 in the latest year), with no evident reduction in losses or improvement in financial position. Being only two years old, the negative equity trajectory raises questions about operational viability and cash flow sufficiency.

3. Positive Indicators:

• Compliance: The company is active, not in liquidation, and has maintained timely filing of accounts and confirmation statements, indicating regulatory compliance.
• Experienced Director: The sole director holds full control and appears engaged, which may facilitate decision-making and potential capital support.
• Going Concern Assertion: The director’s report states a reasonable expectation of continuing in operational existence for the foreseeable future, suggesting some internal confidence or underlying arrangements not visible in the financials.

4. Due Diligence Notes:

• Director Loans and Funding Plans: Investigate the nature, terms, and sustainability of the director’s advances and any planned capital injections or external financing.
• Revenue and Cash Flow Details: Obtain turnover and cash flow statements to assess operational income and outflows, since only balance sheet data is available.
• Business Model and Market Position: Understand the business strategy, client contracts, and revenue generation potential in the television and radio broadcasting sectors (SIC 60200 and 60100).
• Contingent Liabilities and Creditors: Clarify the composition of “Other creditors” (£72,146) to identify any critical payment obligations or risk exposures.
• Going Concern Justification: Review detailed management forecasts and assumptions supporting the going concern basis, given the significant negative equity.