Company Number: 14721195

Analysis Date: 2025-07-20 14:48 UTC

1. Risk Rating: LOW
   The company is newly incorporated (March 2023) and has filed accounts on time with no overdue filings. Its balance sheet shows positive net current assets and positive shareholder funds. Although the scale is small, there are no immediate solvency or liquidity red flags.

2. Key Concerns:

• High corporation tax creditor (£13,351) relative to cash on hand (£1,264) may indicate a potential short-term liquidity pressure.
• The company has only one employee (the director), which may limit operational scalability and resilience.
• The company is very new with limited financial history; the sustainability of earnings and cash flow is unproven.

3. Positive Indicators:

• Positive net current assets (£7,525) and shareholder funds (£17,269) indicate a solvent position at the reporting date.
• The director holds full control and ownership, providing clear governance and decision-making lines.
• The company has generated a profit for the period (£61,968) after dividends, indicating early operational success.

4. Due Diligence Notes:

• Verify the nature and collectability of the £20,875 debtor balance to confirm liquidity assumptions.
• Assess the company’s cash flow projections to ensure ability to meet the significant corporation tax liability imminently due.
• Confirm ongoing business contracts and revenue streams to evaluate operational sustainability.
• Review director’s withdrawal/dividend policy given the £44,700 dividends paid relative to earnings and cash.