BIMTECH MEDIA LIMITED

Executive Summary

BIMTECH MEDIA LIMITED exhibits high financial risk due to persistent net liabilities and a significant working capital deficit, indicating challenges in meeting short-term and long-term obligations. Despite current regulatory compliance and a stable governance structure, the company’s micro-entity scale and declining equity raise concerns about operational sustainability. Careful due diligence on cash flows, business viability, and management is essential before considering investment.

BIMTECH MEDIA LIMITED - Analysis Report

Company Number: 13195994

Analysis Date: 2025-07-29 20:07 UTC

1. Risk Rating: HIGH
   The company’s financial position as of the latest accounts shows significant net liabilities and worsening working capital, indicating serious solvency and liquidity risks.

2. Key Concerns:

• Net Liabilities and Negative Shareholders’ Funds: The company reported net liabilities of £5,410 in 2024, deteriorating from a negative equity position of £1,073 in 2023. This signals the company’s liabilities exceed its assets, raising solvency concerns.
• Working Capital Deficit: Current liabilities (£9,258) significantly exceed current assets (£4,377), resulting in a net current liability of £4,881. This suggests an inability to cover short-term obligations with available assets.
• Declining Employee Base and Limited Operational Scale: The reduction in average employees from 3 to 2 and classification as a micro-entity with minimal share capital (£4) imply limited operational scale and financial buffer, increasing vulnerability.

3. Positive Indicators:

• Up-to-Date Filings: Both annual accounts and confirmation statements are filed on time, indicating compliance with Companies House requirements and no immediate regulatory concerns.
• Stable Address and Director Cohort: The company maintains a consistent registered office and a stable group of directors (three current directors), which supports governance continuity.
• Industry Activity: Operating in media representation services (SIC 73120), a sector with potential growth, though this is not reflected in financials yet.

4. Due Diligence Notes:

• Review Detailed Financial Statements: Investigate reasons behind the worsening net liabilities and working capital deficit, including any off-balance sheet liabilities or contingent risks.
• Assess Cash Flow and Funding Sources: Evaluate cash flow statements and access to financing or capital injections that may not be visible in these summary figures.
• Understand Business Model and Revenue Streams: Verify the sustainability and profitability prospects of the business, including contracts, clients, and market positioning.
• Check Director Backgrounds and Conduct: Although no disqualifications are noted, further background checks on directors may be prudent given the financial distress indicators.
• Monitor Post-Report Developments: Confirm any events after the accounting reference date, such as restructuring, new investments, or potential insolvency proceedings.