Company Number: 13004441

Analysis Date: 2025-07-20 13:10 UTC

1. Risk Rating: HIGH
   The company exhibits persistent negative net current assets and net liabilities since incorporation, indicating ongoing solvency challenges. The absence of positive shareholder equity and reliance on a minimal share capital (£1) raise concerns about the company's capacity to meet its obligations.

2. Key Concerns:

• Solvency Risk: The company has negative net assets of approximately £8,069 as of the latest accounts, worsening over time, which indicates liabilities exceed assets.
• Liquidity Concerns: Net current liabilities (current liabilities exceeding current assets) persist, suggesting potential cash flow difficulties in meeting short-term obligations.
• Operational Stability: The company has been active since 2020 but has not demonstrated growth or improvement in financial health. The accounts are abridged and unaudited, limiting transparency on operational performance and profitability.

3. Positive Indicators:

• Compliance: Filing deadlines for accounts and confirmation statements are up to date with no overdue filings, indicating adherence to regulatory requirements.
• Management Continuity: The same director has been in place since incorporation, which may provide consistent leadership.
• Small Company Exemption: The company qualifies for small company reporting exemptions, reducing administrative burdens which can be advantageous for early-stage or small businesses.

4. Due Diligence Notes:

• Investigate the nature of the company’s liabilities and whether any creditor arrangements or payment plans exist.
• Request detailed management accounts or cash flow statements to assess operational cash generation and working capital management.
• Clarify the business model and revenue streams given the SIC code (IT services) but lack of disclosed turnover or profit figures.
• Evaluate any related party transactions or director loans that may influence the company’s financial position.
• Confirm if there are any contingent liabilities or off-balance sheet obligations not disclosed in the abridged accounts.