Company Number: 14223951

Analysis Date: 2025-07-29 18:48 UTC

1. Risk Rating: HIGH
   The company exhibits significant solvency and liquidity risks, evidenced by persistent net current liabilities exceeding £1.19 million and net negative equity of approximately £27,000 as of the latest accounts. The company's fixed assets appear static and insufficient to cover short-term obligations, indicating a stressed financial position.

2. Key Concerns:

• Negative Net Current Assets: The company has a consistent and substantial working capital deficit (circa £1.2 million), suggesting an inability to meet short-term liabilities with available current assets.
• Net Liabilities and Negative Equity: Shareholders’ funds are negative and have deteriorated from £(4,629) in 2023 to £(26,935) in 2024, highlighting accumulated losses or write-downs undermining the capital base.
• Small Size and Limited Operational Scale: With only 2 employees reported in 2024 and minimal current assets (£19,874), the business scale is very small and may struggle operationally to generate sufficient cash flow to service debts or fund activities.

3. Positive Indicators:

• No Overdue Filings: Both accounts and confirmation statements are filed timely, indicating compliance with statutory filing obligations and no immediate regulatory concerns.
• Active Status with Clear Ownership: The company is active with defined controlling interests (Cam Construction (Midlands) Limited holding 75-100% and Mary Ann Properties Limited holding 25-50%), which may provide some financial or operational support.
• Fixed Asset Base: The company holds fixed assets valued at over £1.17 million, which could represent development land or property assets relevant to its SIC code (Development of building projects), offering potential collateral value.

4. Due Diligence Notes:

• Nature and Valuation of Fixed Assets: Investigate the composition, market value, and liquidity of the £1.17 million fixed assets to understand their recoverability and if they are encumbered or impaired.
• Debt Composition and Terms: Clarify the structure of current liabilities (£1.22 million), including creditor identities, repayment terms, and any covenant risks.
• Operational Cash Flow and Profitability: Obtain profit and loss data or management accounts to assess ongoing operational sustainability, as these accounts omit P&L details.
• Support from Parent or Controlling Entities: Examine the relationship and financial backing from the controlling shareholders, especially Cam Construction (Midlands) Limited, to assess potential for capital injections or guarantees.
• Director and Governance Stability: The only director listed resigned in 2023; verify current director arrangements and any impact on governance or strategic direction.