Company Number: 12555823

Analysis Date: 2025-07-20 13:42 UTC

1. Risk Rating: HIGH
   The company exhibits persistent and increasing net current liabilities and negative shareholders’ funds over multiple years, indicating significant solvency and liquidity risks.

2. Key Concerns:

• Negative Working Capital: The company has consistently reported net current liabilities (e.g., -£7,825 as of 30 April 2024), suggesting it may struggle to meet short-term obligations as they fall due.
• Persistently Negative Shareholders' Funds: Shareholders’ funds are negative and have worsened year on year (from -£3,949 in 2021 to -£7,825 in 2024), indicating accumulated losses and erosion of capital base.
• No Employees and Micro Entity Status: The company operates without employees, limiting operational capacity and possibly indicating a very small scale or under-resourced business, which might affect sustainability and growth prospects.

3. Positive Indicators:

• Timely Filing Compliance: The company is up to date with accounts and confirmation statement filings, reflecting regulatory compliance and governance discipline.
• Active Website and Contact Availability: Presence of an active website and contact emails suggests ongoing business operations and customer engagement efforts.
• Stable Ownership Structure: The primary shareholder retains full control, which may facilitate decisive management and funding decisions if needed.

4. Due Diligence Notes:

• Investigate the nature of current liabilities to assess urgency and terms of repayment or creditor negotiations.
• Review cash flow statements if available to understand operational cash inflows and outflows, and whether the company is generating positive cash flow despite balance sheet weaknesses.
• Clarify the business model and revenue generation given the absence of employees and the micro entity status to assess operational sustainability.
• Confirm if any contingent liabilities or off-balance sheet obligations exist that could exacerbate financial risks.
• Evaluate management plans for addressing persistent losses and negative equity.