BIG IF PRODUCTIONS LTD

Executive Summary

BIG IF PRODUCTIONS LTD shows clear signs of financial distress characterized by increasing net liabilities and insufficient current assets to meet obligations, representing a high solvency and liquidity risk. While regulatory filings are current and management appears stable, the company’s negative equity and working capital deficits raise significant concerns regarding its operational sustainability without further capital support or turnaround measures.

BIG IF PRODUCTIONS LTD - Analysis Report

Company Number: 12569745

Analysis Date: 2025-07-20 13:09 UTC

1. Risk Rating: HIGH

   The company exhibits significant solvency and liquidity concerns, with persistent negative net assets and net current liabilities worsening over recent years. The very limited financial resources and small scale of operations further elevate risk.

2. Key Concerns:

   • Negative Net Assets and Shareholders’ Funds: The company’s net liabilities increased from approximately £13,974 in 2023 to £23,386 in 2024, indicating an erosion of capital and potential insolvency risk.
   • Negative Working Capital: Current liabilities exceed current assets significantly (£15,000 vs. £2,448 in 2024), implying inability to cover short-term obligations from available liquid assets.
   • Limited Scale and Financial Buffer: As a micro-entity with only one employee (the director) and minimal share capital (£1), the company likely lacks operational resilience and access to external financing.

3. Positive Indicators:

   • Compliance with Filing Requirements: The company is up to date on its accounts and confirmation statement filings, indicating good regulatory compliance.
   • Experienced Director: The sole director has been in place since incorporation and is listed with a relevant occupation (film producer), suggesting continuity in management.
   • Micro-Entity Status: The company’s size allows it to benefit from simplified reporting requirements, reducing administrative burden.

4. Due Diligence Notes:

   • Investigate the nature and terms of the £15,000 creditors falling due after more than one year to understand long-term liabilities and repayment risk.
   • Review cash flow statements or management accounts (if available) to assess operational cash generation and funding sources.
   • Clarify the business model and revenue streams given the negative equity and whether additional capital injections or restructuring plans are in place.
   • Verify the director’s plans for addressing the accumulated losses and whether there are any ongoing financing arrangements or related party transactions.
   • Confirm absence of any director disqualifications or regulatory sanctions beyond the Companies House filings.