Company Number: 13438081

Analysis Date: 2025-07-29 17:14 UTC

1. Risk Rating: HIGH
   The company exhibits a high risk profile primarily due to persistent liquidity challenges, minimal operational activity, and an unusual asset revaluation that raises questions on true asset realizability.

2. Key Concerns:

• Liquidity and Working Capital Deficits: The company has consistently reported negative net current assets, indicating insufficient short-term assets to cover current liabilities. Notably, current liabilities dropped dramatically from £80,000 in 2023 to £6 in 2024, possibly reflecting restructuring of debts but raising questions about cash flow sufficiency.
• Asset Valuation and Depreciation: The fixed asset base dropped substantially in net book value from £122,988 in 2023 to £12,568 in 2024 due to a significant revaluation surplus of £100,000. Such a large revaluation warrants scrutiny to confirm it reflects realistic market values rather than an accounting adjustment.
• No Employees and Limited Operational Activity: The company reports zero employees and minimal current liabilities in 2024, which may suggest limited ongoing business operations, raising concerns on sustainability and revenue generation capability.

3. Positive Indicators:

• Improved Net Assets: Shareholders’ funds increased from £270 in 2023 to £12,562 in 2024, indicating some improvement in the equity position.
• Compliance with Filings: The company is up-to-date with its accounts and confirmation statement filings, showing no regulatory compliance issues at this time.
• Director Control and Stability: The sole director and 100% shareholder, Mr. Dominik Litwinski, has maintained consistent control since incorporation, which may support decision-making continuity.

4. Due Diligence Notes:

• Investigate the basis and valuation methodology of the £100,000 revaluation surplus on tangible fixed assets to assess its credibility and market relevance.
• Review cash flow statements and bank transactions to understand the resolution of previous high current liabilities and confirm liquidity status.
• Assess business model viability given zero employees and minimal short-term liabilities to determine operational sustainability.
• Confirm absence of contingent liabilities or related party loans that may not be fully disclosed in the accounts.
• Verify the director’s background and any associated risks, although no disqualifications or adverse records are currently evident.