Company Number: 13787959

Analysis Date: 2025-07-20 14:30 UTC

1. Risk Rating: HIGH
   The company exhibits a high risk primarily due to significant negative net current assets and a very small net asset base relative to its liabilities, which raises concerns over solvency and liquidity.

2. Key Concerns:

• Negative Net Current Assets: The company shows net current liabilities of approximately £75,000 as of the last financial year-end, indicating potential liquidity issues to meet short-term obligations.
• High Long-term Creditors: With long-term liabilities nearly £189,000 against total net assets of just £1,357, the company’s gearing and solvency position appear weak.
• No Employees and Limited Activity: The company has no recorded employees and minimal current assets, which may reflect limited operational activity and revenue generation, impacting sustainability.

3. Positive Indicators:

• Compliance with Filings: The company is up to date with its accounts and confirmation statement filings, indicating good regulatory compliance.
• Ownership and Control: Single shareholder/director ownership structure may allow for swift decision-making and control.
• Fixed Assets Base: Presence of fixed assets valued at £265,321 could provide some collateral value, depending on asset liquidity.

4. Due Diligence Notes:

• Examine Nature and Terms of Liabilities: Detailed review of the £188,964 long-term creditors to understand repayment terms, interest obligations, and creditor identities is essential.
• Cash Flow Analysis: Investigate recent cash flows and funding sources to assess the company’s ability to meet ongoing short-term and long-term obligations.
• Business Model and Revenue Streams: Clarify the operational status, business activity, and revenue generation, especially given the absence of employees.
• Asset Valuation: Confirm the valuation basis and realizability of fixed assets, as these underpin the company’s balance sheet strength.
• Director and Shareholder Background: While no disqualifications are indicated, further background checks on the sole director and shareholder could provide additional reassurance.