Company Number: 14979037

Analysis Date: 2025-07-29 13:57 UTC

1. Risk Rating: HIGH
   Justification: Cefn Onn Services Limited is a newly incorporated private limited company with minimal financial activity and negligible asset base (£100 cash, £100 shareholders’ funds). The absence of employees, lack of trading history, and minimal financial substance present a high risk from a solvency and liquidity perspective.

2. Key Concerns:

• Financial Substance and Liquidity: The company holds only £100 in cash and has no reported liabilities or assets beyond the initial share capital. This limited financial base raises concerns about its ability to meet obligations or sustain operations.
• Operational Track Record: Incorporated in July 2023 and reporting only to March 2024, there is no historical performance data or income statement available, limiting assessment of business viability or profitability.
• Governance and Control Concentration: The shareholders and voting rights are concentrated between two individuals (one holding 50-75%, the other 25-50%), potentially increasing governance risk if decision-making lacks independent oversight.

3. Positive Indicators:

• Compliance and Filing: The company is active and has filed accounts and confirmation statements on time, indicating basic regulatory compliance.
• Clear Accounting Policies: The accounts document reflects adherence to UK accounting standards (FRS 102), with transparent notes on accounting policies and going concern assumption declared by directors.
• No Indications of Financial Distress: There is no evidence of overdue filings, insolvency proceedings, or director disqualifications.

4. Due Diligence Notes:

• Business Model and Revenue Streams: Investigate the nature of activities undertaken since incorporation, client base, and revenue generation plans to assess operational sustainability.
• Funding and Capital Plans: Clarify if additional funding or capital injections are planned to support growth or operations beyond the nominal share capital.
• Director Background and Related Party Transactions: Conduct background checks on directors and secretary, and verify if there are any related party transactions or conflicts of interest given the shared address and control concentration.