Company Number: 12928176

Analysis Date: 2025-07-20 14:28 UTC

1. Risk Rating: MEDIUM
   The company shows positive net assets but notable liquidity concerns given current liabilities far exceed current assets. The modest size and limited financial data temper risk but warrant caution.

2. Key Concerns:

• Liquidity Deficit: Current assets (£340) are negligible compared to current liabilities (£83,953) as of the latest year, indicating potential difficulty meeting short-term obligations.
• Declining Net Assets: Net assets fell from £30,318 in 2023 to £18,297 in 2024, suggesting erosion of equity which may signal operational or financial stress.
• Concentration and Scale: Single director and micro-entity status limit operational scale and diversification, increasing vulnerability to adverse events.

3. Positive Indicators:

• Stable Fixed Assets: Property assets remain steady at £101,720, indicating some collateral backing.
• No Filing or Compliance Issues: Accounts and confirmation statements are filed on time with no overdue filings, reflecting sound regulatory compliance.
• No Insolvency or Liquidation Status: The company remains active and not subject to administration or receivership.

4. Due Diligence Notes:

• Investigate the nature and timing of short-term liabilities causing liquidity pressure and assess payment plans or restructuring efforts.
• Review income and cash flow trends (not disclosed here) to understand operational sustainability.
• Confirm ownership/control structure—no persons with significant control are listed, which may require clarification.
• Verify the valuation basis for fixed assets and potential for monetization if liquidity worsens.
• Assess director background and any related party transactions given sole directorship.