Company Number: 14571935

Analysis Date: 2025-07-20 15:47 UTC

1. Risk Rating: LOW
   The company is newly incorporated (2023), with a micro-entity filing status and no overdue filings. The balance sheet shows positive net current assets and shareholders' funds, indicating a solvent position at the reporting date. There are no indications of liquidation or administration.

2. Key Concerns:

• Limited financial history: With just one set of accounts for a partial first year, there is insufficient data to assess trends in profitability or cash flow stability.
• Small scale of operations: As a micro-entity with only two employees and minimal fixed assets, the company may be vulnerable to operational disruptions or unexpected expenses.
• Concentrated ownership and control: Two directors/shareholders control all voting rights and director appointments, which may pose governance risks in the absence of independent oversight.

3. Positive Indicators:

• Compliance: The company has filed accounts and confirmation statements on time, evidencing good regulatory compliance.
• Solvent position: The latest balance sheet shows net current assets of £17,560 and positive shareholders’ funds of £18,633, reflecting a sound short-term liquidity position.
• Clear ownership structure: The two directors have well-defined ownership stakes and control rights, simplifying accountability.

4. Due Diligence Notes:

• Review management accounts and cash flow forecasts to confirm ongoing liquidity beyond the single reported year.
• Obtain details of revenue, profitability, and customer concentration to assess business sustainability and operational risks.
• Verify background and reputation of directors, given their full control and potential impact on governance.
• Confirm no contingent liabilities or off-balance sheet risks exist that could impair solvency.
• Understand the nature of contracts and client relationships in the food and beverage agency sector (SIC 46170) to evaluate revenue stability.