Company Number: 14458800

Analysis Date: 2025-07-29 12:43 UTC

1. Risk Rating: MEDIUM

Justification: CHIZOBA LTD is a recently incorporated (Nov 2022) private limited company operating in social work activities without accommodation for elderly and disabled (SIC 88100). The company shows positive net current assets and net equity, but overall net assets are modest (£467 in 2024). The company has no employees and limited cash reserves (£236 in 2024), with a notable increase in short-term liabilities in the latest year. While no overdue filings or liquidation status are observed, the thin financial base and dependency on director funding present moderate risk.

2. Key Concerns:

• Liquidity strain: Cash balance is very low (£236), and current liabilities have increased substantially from £813 (2023) to £5,874 (2024), indicating potential short-term cash flow pressure.
• Rising creditors: The substantial rise in taxes and social security creditors (from £0 to £5,074 current and £1,283 non-current) could indicate delayed payments or tax compliance risks.
• No employees and limited operational scale: With zero employees and minimal assets, the operational sustainability and scalability of the business is uncertain, relying heavily on director involvement and external funding.

3. Positive Indicators:

• Timely compliance: The company is up-to-date on all filings with no overdue accounts or confirmation statements, indicating good governance discipline.
• Consistent growth in net assets: Despite low absolute values, net assets increased from £333 in 2023 to £467 in 2024, showing some retained profitability or capital injection.
• Clear ownership and control: Single director and 75-100% shareholder Evangeline Nkazi provides clear accountability and control, reducing governance complexity.

4. Due Diligence Notes:

• Investigate the nature and cause of the significant increase in current liabilities, especially taxes and social security, to assess if this poses a solvency risk.
• Review cash flow forecasts and funding arrangements to verify the company’s ability to meet short-term obligations.
• Examine the business model, client contracts, and revenue streams to understand operational sustainability given zero employees and low asset base.
• Confirm no director disqualifications or compliance issues beyond those reported.
• Clarify the relationship between the registered office addresses listed (London and Gravesend) and operational premises.