Company Number: 12948378

Analysis Date: 2025-07-29 19:48 UTC

1. Risk Rating: HIGH
   Justification: The latest available financial data from 2021 shows minimal current assets (£2) against current liabilities of £12,000, indicating negative working capital and potential liquidity issues. The absence of more recent financials and minimal share capital (£2) further heighten solvency concerns.

2. Key Concerns:

• Liquidity Risk: Current liabilities substantially exceed current assets, suggesting cash flow difficulties to meet short-term obligations.
• Outdated Financial Information: The latest available accounts date back to September 2021, with no subsequent financials provided despite the company being active, limiting visibility into current financial health.
• Minimal Share Capital and Equity: Share capital is only £2, which is very low, potentially limiting the company’s ability to raise funds or absorb losses.

3. Positive Indicators:

• Company Status and Compliance: The company is active, with no overdue filings or accounts, indicating compliance with statutory requirements.
• Experienced Directors: Presence of directors with relevant backgrounds (e.g., Chartered Accountant, CFO) may contribute positively to governance and financial management.
• Industry Classification: Operating in licensed restaurants (SIC 56101), a sector with potential for stable cash flow if managed well.

4. Due Diligence Notes:

• Request and review the most recent financial statements (post-2021) to assess current solvency and liquidity.
• Investigate the nature and terms of the £12,000 current liabilities noted in 2021 to understand repayment obligations and creditor relationships.
• Confirm operational status and trading performance, given the minimal asset base and low equity.
• Review cash flow statements if available, to evaluate ongoing liquidity and operational cash generation.
• Assess any contingent liabilities or off-balance-sheet exposures not reflected in the limited accounts.