Company Number: 13594760

Analysis Date: 2025-07-29 12:43 UTC

1. Risk Rating: LOW
   BPH Auction Limited demonstrates a stable financial position with positive net current assets and net assets. The company is compliant with filing requirements, has no overdue accounts or confirmation statements, and employs a small but growing workforce. The increase in cash and debtors year-over-year supports liquidity.

2. Key Concerns:

• Limited scale: The company remains micro-sized, which may limit resilience against market shocks or operational disruptions.
• Modest tangible assets: Fixed assets are low (£2,646), suggesting limited physical capital backing operations.
• Concentrated control: Three directors each hold significant share and voting rights (25-50%), which could pose governance risks if disagreements arise.

3. Positive Indicators:

• Strong liquidity: Cash balance increased significantly to £96,687, comfortably covering current liabilities of £110,992 with net current assets positive at £30,036.
• Compliance: No overdue filings; accounts and confirmation statements are up to date.
• Profit retention: Accumulated profit and loss reserve increased to £32,582, reflecting retained earnings and positive business performance.
• Operational growth: Increase in debtors and cash suggests expanding business activity and receivables management.

4. Due Diligence Notes:

• Review revenue streams and client concentration to assess sustainability of debtor balances and cash inflows.
• Assess director relationships and governance structure given the evenly split ownership and voting rights.
• Investigate the nature and valuation of tangible assets and planned capital expenditure to support growth.
• Confirm absence of contingent liabilities or off-balance sheet risks not visible from abridged accounts.