Company Number: 13481788

Analysis Date: 2025-07-29 19:04 UTC

1. Risk Rating: HIGH
   The company exhibits a high risk profile primarily due to persistent negative net current assets and very low net asset levels, indicating potential difficulties in meeting short-term liabilities.

2. Key Concerns:

• Liquidity Deficit: The company shows significant negative net current assets (£-33,629 for 2024), which worsened substantially compared to prior years, signaling cash flow pressures and possible inability to cover short-term debts.
• Minimal Net Assets: Net assets remain very low (£192 in 2024) despite an increase in fixed assets, indicating a fragile equity base and limited financial cushion.
• Small Scale with Limited Financial Transparency: As a micro-entity, the company files under simplified accounting standards and does not publish a profit and loss account, restricting full insight into profitability and operational performance.

3. Positive Indicators:

• Active Status with Up-to-Date Filings: The company is active and has met all filing deadlines for accounts and confirmation statements, indicating compliance with regulatory requirements.
• Stable Ownership and Management: The sole director and majority shareholder is consistent, with no records of disqualification or adverse governance issues.
• Growth in Fixed Assets: Fixed assets increased notably from £5,379 in 2023 to £33,829 in 2024, which may indicate investment in operational capacity or equipment.

4. Due Diligence Notes:

• Investigate the nature and terms of current liabilities to understand liquidity risks and potential refinancing needs.
• Review cash flow statements and profit and loss details (if obtainable) to assess operational cash generation and profitability trends.
• Assess the reason for the significant increase in fixed assets and whether these are financed through debt or equity.
• Confirm the absence of contingent liabilities or off-balance-sheet obligations that could exacerbate solvency risks.
• Evaluate contracts or backlog to determine future revenue visibility and operational sustainability.