Company Number: 12562195

Analysis Date: 2025-07-20 12:25 UTC

1. Risk Rating: MEDIUM
   The company shows a very minimal balance sheet with net assets of only £2 and consistent net current liabilities of £-1 over multiple years, indicating a fragile financial position. However, it is currently active, filing on time, and not in liquidation, which tempers the risk assessment.

2. Key Concerns:

• Extremely Limited Financial Scale: The company’s total assets and equity are negligible, which raises concerns about its ability to absorb losses or finance growth.
• Persistent Net Current Liabilities: Negative net current assets suggest potential liquidity strain; the company may struggle to meet short-term obligations without external support.
• Lack of Financial Detail and Revenue Data: The accounts are filed under the small companies regime with limited disclosure and do not include income statement data, making it difficult to assess operational profitability or cash flow.

3. Positive Indicators:

• Regular and Timely Filings: No overdue accounts or confirmation statements, indicating compliance with statutory obligations and good governance practices.
• Stable Director Appointment: Single director with a stable appointment history and no adverse records found, which reduces governance risk.
• No Signs of Insolvency Proceedings: The company is not in liquidation or administration, which suggests operational continuity at least in the short term.

4. Due Diligence Notes:

• Investigate the nature and financial health of any subsidiaries or investments, as the fixed assets are classified as investments valued at £3.
• Obtain detailed income and cash flow statements to evaluate profitability and liquidity beyond balance sheet snapshots.
• Review the business model and revenue streams (noting the website relates to a coffee roasting and retail business) to assess sustainability and operational risks.
• Confirm whether external funding or shareholder support is in place given the minimal capital and assets.
• Verify absence of any undisclosed liabilities or contingent risks not reflected in the limited accounts.