Company Number: 14722137

Analysis Date: 2025-07-20 15:49 UTC

1. Risk Rating: MEDIUM
   The company shows recovery from a previous negative net asset position to a modest positive net asset value. However, the absolute size of net assets and current assets remains small, indicating limited financial buffer. The micro-entity status and small scale suggest higher vulnerability to cash flow volatility.

2. Key Concerns:

• Historically negative net current assets and net liabilities in prior year (2024) indicate past liquidity stress that was only recently reversed.
• Very low absolute current asset figure (£26,003) limits operational cash reserves and flexibility.
• Limited employee base (2 staff) and small scale may constrain operational stability and growth potential.

3. Positive Indicators:

• Transition from net liabilities (£28,996) to net assets (£7,718) within one year suggests improving financial position and creditor management.
• No overdue filings for accounts or confirmation statements indicate compliance discipline.
• Ownership and control concentrated with a single experienced director, which may facilitate swift decision-making.

4. Due Diligence Notes:

• Review cash flow statements (if available) to assess operational cash generation given limited current assets.
• Confirm nature and maturity profile of current liabilities to evaluate short-term solvency risk.
• Investigate business model sustainability and client base given micro scale and recent financial volatility.
• Monitor director and shareholder stability given concentration of control and recent director resignation.