Company Number: 13905009

Analysis Date: 2025-07-20 13:12 UTC

1. Risk Rating: MEDIUM
   Choice Auto Group Ltd is a recently incorporated micro-entity with minimal net assets and limited financial history. While it is current on filings and not in liquidation, the low net asset base and small working capital margin suggest moderate solvency and liquidity risks typical for a new small business.

2. Key Concerns:

• Limited Financial Cushion: Net assets of £1,909 and net current assets of £3,598 are very modest, offering little buffer against unexpected expenses or downturns.
• Single Director and Shareholder Control: Mr. Luke Alexander Cufley holds full ownership and directorship, which concentrates control but may pose governance risks if oversight is limited.
• Minimal Operating Scale: Average employees numbered only one for the year, indicating very limited operational scale or capacity, potentially impacting sustainability and growth prospects.

3. Positive Indicators:

• Current Compliance: All statutory filings including accounts and confirmation statements are up to date with no overdue notices, reflecting good regulatory compliance.
• No Indication of Insolvency or Financial Distress: The company remains active and is not in liquidation or administration.
• Gradual Asset Growth: Current assets increased from £100 to £10,863 over two years, showing some operational progress.

4. Due Diligence Notes:

• Verify detailed cash flow and income statement data to assess profitability and cash generation capacity.
• Investigate the nature and terms of current liabilities (£7,265) and accruals (£1,689) to understand short-term obligations.
• Assess business model viability within the used car sales sector and any dependencies on the single director for operational continuity.
• Confirm absence of director disqualifications or adverse regulatory history for Mr. Cufley.