CEP FOREST LIMITED

Executive Summary

CEP FOREST LIMITED is a micro-entity showing modest but positive financial position and good compliance with filing requirements. The company operates on a very small scale with no employees and concentrated ownership, which warrants further review of operational sustainability and cash flow. Overall, the current risk of insolvency or regulatory issues is low, but the limited size and resources suggest careful monitoring is advisable for investors.

CEP FOREST LIMITED - Analysis Report

Company Number: 13547200

Analysis Date: 2025-07-20 17:29 UTC

1. Risk Rating: LOW

Justification: CEP FOREST LIMITED presents a low risk profile based on the available data. The company is active, up to date with filings, and shows modest but positive net current assets and net assets in its latest two years of accounts. No overdue returns or accounts are noted, and there are no indications of financial distress or regulatory non-compliance.

2. Key Concerns:

• Limited scale of operations: The company is categorized as a micro-entity with very small current assets (£7,363) and liabilities (£5,361), indicating a very small operational footprint and limited financial buffer.
• No employees reported: The accounts confirm zero employees, suggesting the company may rely on directors or external contractors, which could affect operational sustainability.
• Concentrated control: Both directors, who are also the significant shareholders, hold between 25-50% of shares and voting rights each. While common in small companies, this concentration could pose governance risks or limit external oversight.

3. Positive Indicators:

• Positive net current assets and net assets: The company’s net current assets increased from £397 in 2022 to £2,002 in 2023, indicating a modest improvement in working capital.
• Timely and compliant filings: Both accounts and confirmation statements are current with no overdue filings, showing good regulatory compliance.
• Stable management: The same two directors have been in place since incorporation with no changes or disqualifications noted.

4. Due Diligence Notes:

• Investigate the nature and sustainability of revenue streams given the small asset base and lack of employees.
• Review cash flow cycles and creditor terms to confirm liquidity beyond the snapshot balance sheet.
• Assess the business model and operational plans to determine scalability and longer-term viability.
• Confirm whether any related party transactions exist given the dual role of directors as significant shareholders.
• Verify absence of contingent liabilities or off-balance sheet commitments not reflected in micro-entity accounts.