Company Number: 12546561

Analysis Date: 2025-07-20 12:52 UTC

1. Risk Rating: HIGH
   The company shows persistent negative net assets and shareholders’ funds, indicating accumulated losses and weak financial health. The dormant status combined with these financials raises concerns about the company’s ability to meet obligations and sustain operations.

2. Key Concerns:

• Negative Net Assets & Shareholders’ Funds: The company’s balance sheet reveals consistent net liabilities (£5,873 negative net assets in 2024), signaling erosion of capital and solvency stress.
• Dormant Status with Financial Liabilities: Despite being dormant, the company reports current liabilities of £6,677, which may not be adequately covered by assets or cash flow. This mismatch poses liquidity risk.
• Lack of Operational Activity and Income Statement: The absence of trading activity and no income statement filed limits visibility on cash flow generation and operational viability.

3. Positive Indicators:

• Timely Compliance: The company is up to date with filings and is not overdue on accounts or confirmation statements, reflecting regulatory compliance.
• Stable Directors and Governance: Directors have been in place since incorporation with no indication of disqualification or governance issues.
• Low Share Capital Commitment: Minimal share capital (£100) limits shareholder exposure and potential downside.

4. Due Diligence Notes:

• Investigate the nature and origin of current liabilities to understand if these are ongoing obligations or historical balances.
• Confirm the reason for dormant filing status despite reported liabilities and whether any transactions have occurred recently.
• Review directors’ plans or intentions for the company to assess potential reactivation or liquidation prospects.
• Seek clarification on the company’s business model and strategy given its inactivity and negative equity position.
• Verify the accuracy of the financial data and check for any off-balance sheet liabilities or contingent risks.