Company Number: 14155812

Analysis Date: 2025-07-29 14:33 UTC

1. Risk Rating: HIGH
   Justification: The company has reported negative net current assets and negative shareholders’ funds for three consecutive years since incorporation, indicating ongoing net liabilities and an inability to cover short-term obligations from current assets.

2. Key Concerns:

• Persistent Negative Net Current Assets: The company’s current liabilities exceed current assets by £240 as of June 2024, worsening from £132 the prior year, signaling liquidity strains.
• Negative Shareholders’ Funds: The company has accumulated losses or net liabilities of £240, suggesting it is technically insolvent on a balance sheet basis.
• Minimal Asset Base and Scale: Current assets are only £1,311 with no indication of fixed assets or reserves, and only one employee on average, which may limit operational flexibility and financial resilience.

3. Positive Indicators:

• Timely Filing and Compliance: The company is up to date with both accounts and confirmation statement filings, avoiding regulatory penalties or compliance risks.
• Micro Entity Status: The small scale reduces some regulatory and financial reporting burdens, potentially lowering fixed costs.
• No Evidence of Director Disqualification or Insolvency Proceedings: The company remains active with no public record of director misconduct or formal insolvency processes.

4. Due Diligence Notes:

• Investigate Cash Flow Position: Detailed cash flow statements are not provided; understanding actual cash inflows and outflows is critical to assess near-term liquidity.
• Review Business Model Viability: Given the SIC code for take-away food shops, assess revenue generation, gross margins, and market position to determine operational sustainability.
• Examine Capital Structure and Funding Plans: Explore whether the company has access to external funding or shareholder support to address negative equity and working capital deficits.