Company Number: 13106719

Analysis Date: 2025-07-20 14:00 UTC

1. Risk Rating: MEDIUM
   The company shows a moderate level of solvency with positive shareholders’ funds, but the decline in current assets and increase in provisions raise some concerns about liquidity and underlying obligations.

2. Key Concerns:

• Declining Current Assets: Current assets dropped significantly from £126,334 in 2022 to £60,902 in 2023, which may indicate reduced cash or receivables and could pressure liquidity.
• Increase in Provisions for Liabilities: Provisions increased from £21,633 in 2022 to £23,589 in 2023, suggesting potentially growing contingent or actual liabilities that require monitoring.
• Reduction in Shareholders' Funds: Equity decreased from £82,273 in 2022 to £44,167 in 2023, indicating possible losses or capital withdrawals that could weaken the financial base.

3. Positive Indicators:

• Low Current Liabilities: Creditors due within one year are low at £1,138 in 2023, which reduces immediate short-term payment pressure.
• No Overdue Filings: The company is up-to-date with both accounts and confirmation statement filings, demonstrating regulatory compliance and good governance.
• Stable Management Team: Directors and secretary have been in place since incorporation, suggesting consistent leadership.

4. Due Diligence Notes:

• Investigate the nature and drivers of the increased provisions to assess potential future cash outflows or contingent liabilities.
• Review cash flow statements or management accounts (if available) to understand the reasons behind the sharp reduction in current assets and ensure ongoing liquidity.
• Confirm whether the reduction in shareholders’ funds relates to trading losses or other factors such as dividends or capital distributions.
• Evaluate whether the absence of employees (zero average employees) impacts operational sustainability and delivery of consultancy services.