Company Number: 13606373

Analysis Date: 2025-07-29 20:51 UTC

1. Risk Rating: HIGH
   The company exhibits a significant decline in current assets from £7,566 in 2023 to only £2 in 2024, while fixed assets have marginally decreased. Net current assets dropped from £4,093 to £2, indicating severe liquidity constraints. The sharp reduction in working capital raises concerns about the company's ability to meet short-term obligations and operational continuity.

2. Key Concerns:

• Liquidity Risk: Current assets collapsed to a negligible £2 with no current liabilities reported, suggesting potential issues with cash or receivables management and possibly limited operational cash flow.
• Operational Stability: The company employs only one person and is micro-entity sized, which may indicate limited operational scale and resilience. The drastic fall in assets could imply diminishing business activity or revenue generation problems.
• Concentration of Control: Two individuals hold between them 75-100% ownership/control, with at least one director (Basil Pusey) holding full control. Such concentration may pose governance risks if not properly managed.

3. Positive Indicators:

• Compliance and Filing: The company is active, up to date on accounts and confirmation statement filings, with no overdue returns or accounts, indicating regulatory compliance.
• No Current Liabilities: Absence of current liabilities in 2024 reduces immediate solvency pressure, though this may also reflect reduced trading activity or deferred obligations.
• Micro-entity Reporting: Being a micro-entity simplifies reporting and may reduce administrative burdens, which could be advantageous for a small-scale operation.

4. Due Diligence Notes:

• Investigate the cause of the drastic reduction in current assets between 2023 and 2024 to determine if this reflects asset disposals, write-offs, or operational shutdown.
• Review cash flow statements and profit & loss accounts (not provided) to assess income generation and expense trends.
• Assess the business model sustainability given the minimal employee count and apparent asset shrinkage.
• Clarify ownership structure and governance controls to understand decision-making and risk management processes.