Company Number: 13157937

Analysis Date: 2025-07-20 13:41 UTC

1. Risk Rating: HIGH
   Justification: The company has consistently reported net current liabilities and net negative shareholders' funds over multiple years, indicating ongoing solvency and liquidity concerns. The absence of positive net assets and the micro-entity status suggest minimal financial resources and limited margin for operational sustainability.

2. Key Concerns:

• Negative Net Assets: The company has net liabilities of approximately £1,850 as of the latest accounts, reflecting an erosion of equity and potential solvency risk.
• Working Capital Deficit: Current liabilities exceed current assets by £1,850, indicating possible difficulties meeting short-term obligations and cash flow stress.
• Lack of Profit and Loss Disclosure: The directors have not provided a profit and loss account, limiting transparency on operational performance and cash flow generation.

3. Positive Indicators:

• Timely Filing Compliance: Accounts and confirmation statements are up to date with no overdue filings, suggesting regulatory compliance and governance discipline.
• Stable Directorship: Both directors have been in position since incorporation with no adverse information noted, implying stable management.
• Micro-Entity Status: The company benefits from simplified reporting requirements, reducing administrative burden and associated costs.

4. Due Diligence Notes:

• Investigate the underlying causes of accumulated losses and negative net assets, including the company’s business model viability in buying and selling of own real estate (SIC 68100).
• Review cash flow statements or internal management accounts (if available) to assess liquidity trends and ability to meet liabilities as they fall due.
• Clarify the absence of profit and loss information and request supplementary disclosures on revenue, expenses, and operational results.
• Assess whether any contingent liabilities or related party transactions exist that might exacerbate financial risk.
• Confirm the financial support or credit arrangements available to the company, including director loans or external funding.