Company Number: 13506520

Analysis Date: 2025-07-20 16:27 UTC

1. Risk Rating: LOW
   The company demonstrates strong net current assets relative to current liabilities, positive net assets growth, and no overdue filings, indicating low immediate solvency or liquidity risk. Operational stability is supported by consistent employee numbers and a clear business focus in education.

2. Key Concerns:

• Increased deferred income of £19,143 in 2024 compared to none in 2023 may warrant review to understand cash flow recognition timing.
• Bank loans falling due after one year have decreased but remain at £7,640, requiring monitoring of longer-term debt servicing capacity.
• Director loans decreased significantly from £26,490 in 2023 to £75 in 2024, which may reflect improved internal financing but should be clarified.

3. Positive Indicators:

• Net current assets improved substantially from £46,063 (2023) to £76,780 (2024), reflecting enhanced liquidity.
• Cash balances remain healthy at £103,307 (2024), adequate to cover short-term liabilities.
• Shareholders' funds more than doubled year-on-year, indicating retained earnings growth and strengthening equity.
• No overdue accounts or confirmation statements, showing compliance with regulatory filing requirements.
• The sole director and person of significant control holds full ownership, ensuring clear governance accountability.

4. Due Diligence Notes:

• Review the nature and timing of deferred income to assess cash flow impacts and revenue recognition policies.
• Confirm terms and repayment schedule of bank loans and director loans to evaluate debt servicing risks.
• Assess customer concentration and debtor aging within trade debtors (£71,869) to mitigate credit risk.
• Validate the consistency and sustainability of revenue streams in the education sector given market competition.
• Verify the director’s background and any potential conflicts of interest given sole control status.