CAREERING INTO MOTHERHOOD LTD

Executive Summary

Careering Into Motherhood Ltd has experienced a material deterioration in financial health over the last year, moving into net liabilities with negative working capital and increased reliance on director financing. While regulatory compliance is maintained, the company’s liquidity and solvency risks are elevated, warranting close scrutiny of cash flow and operational sustainability. Further investigation into the causes of financial decline and the business’s income generation is advised before investment consideration.

CAREERING INTO MOTHERHOOD LTD - Analysis Report

Company Number: 13658656

Analysis Date: 2025-07-20 19:07 UTC

1. Risk Rating: HIGH
   The company shows significant deterioration in financial position over the latest year, with net liabilities increasing from £6,310 (positive net assets) in 2023 to a net liability of £11,495 in 2024. Negative working capital and net current liabilities exceeding current assets raise solvency and liquidity concerns.

2. Key Concerns:

• Negative Net Current Assets: Current liabilities (£27,414) exceed current assets (£15,494) by £11,920 as of March 2024, indicating immediate liquidity stress.
• Declining Equity and Net Assets: Shareholders’ funds have shifted from positive £6,310 to negative £11,496, reflecting accumulated losses or increased liabilities.
• Director Loan Balance: A significant interest-free loan of £24,695 owed to the director, repayable on demand, suggests reliance on director financing rather than external funding, which may not be sustainable.

3. Positive Indicators:

• No Overdue Filings: Both accounts and confirmation statement filings are up to date, indicating compliance with Companies House requirements.
• Active Online Presence: The company maintains an active website with social media channels, which may support business continuity and marketing efforts.
• Single Director with Significant Control: Clear ownership and management structure, potentially allowing for swift decision-making.

4. Due Diligence Notes:

• Investigate the reasons for the sharp decline in net assets and current assets from 2023 to 2024, including analysis of income, expenses, and any provisions or write-offs.
• Confirm the terms and conditions of director loans and assess the likelihood and timing of repayment or conversion to equity.
• Review cash flow statements (if available) and any forecasts to evaluate near-term liquidity and operational viability.
• Understand the business model under SIC 62090 and revenue generation, as no income statement was filed; assess sustainability and growth prospects.
• Verify whether the company has any contingent liabilities or off-balance sheet obligations not reflected in filings.