C M TUTORING LTD

Executive Summary

C M Tutoring Ltd exhibits a high risk profile due to a transition from positive to negative net assets and a marked decline in liquidity over the latest financial year. While compliance with statutory filings is maintained, the absence of employees and fixed assets raises operational sustainability concerns. Further investigation into recent financial deterioration and business viability is advised before considering investment.

C M TUTORING LTD - Analysis Report

Company Number: 13169904

Analysis Date: 2025-07-20 12:03 UTC

1. Risk Rating: HIGH
   The company shows signs of financial distress, with net assets turning negative in the latest financial year and a significant drop in current assets. This raises solvency and liquidity concerns.

2. Key Concerns:

• Negative net assets (£-279) in the year ending February 2025, down from positive net assets in prior years, indicating erosion of equity and potential insolvency risk.
• Sharp decline in current assets from £1,291 in 2024 to £706 in 2025, while current liabilities remain high, resulting in minimal net current assets (£36). This suggests liquidity pressures.
• No fixed assets and no employees reported, raising questions about operational capacity and sustainability of business activities.

3. Positive Indicators:

• The company is compliant with filing requirements; accounts and confirmation statements are up to date and not overdue.
• Directors appear stable, with no indication of disqualifications or governance issues.
• The company falls under the micro-entity regime, which reduces reporting complexity and costs, potentially helping cash conservation.

4. Due Diligence Notes:

• Investigate the causes behind the negative net assets and cash flow deterioration in the most recent year—e.g., extraordinary expenses, loss of revenue, or accounting adjustments.
• Assess the business model viability given absence of employees and fixed assets; confirm if the company is trading or dormant operationally.
• Confirm if there are any contingent liabilities or creditor pressures not reflected in the accounts.
• Review directors’ plans and forecasts for reversing the financial decline and restoring positive equity.
• Validate the reliability of the financials given micro-entity exemptions and the lack of audit.