Company Number: 12847929

Analysis Date: 2025-07-20 16:37 UTC

1. Risk Rating: HIGH
   Copperfuse Limited exhibits a high risk profile primarily due to sustained negative net assets and net current liabilities, indicating solvency concerns. The company has continued to operate with a deficit in shareholders' funds and insufficient current assets relative to current liabilities, which raises questions about its ability to meet short-term obligations.

2. Key Concerns:

• Solvency Risk: The company’s net liabilities stood at £10,754 as of August 2023, worsening from a £6,800 deficit the previous year. This indicates ongoing losses and an eroding equity base.
• Liquidity Issues: Current liabilities (£11,670) far exceed current assets (£916), with net current liabilities of £10,754, suggesting cash flow constraints and potential difficulties in settling debts as they fall due.
• Operational Sustainability: The accounts show zero employees and no turnover data, implying minimal or no active trading operations. The absence of turnover and reliance on director loans (£11,420) highlight operational fragility.

3. Positive Indicators:

• Compliance Status: All statutory filings, including accounts and confirmation statements, are up to date with no overdue filings, demonstrating regulatory compliance.
• Director Control and Stability: The sole director and PSC, Xxxxxx Xxxxxxxxname shown to subscribers, has held his position since incorporation, providing consistent governance oversight.
• Exemption from Audit: The company qualifies for audit exemption under small company rules, reducing compliance costs.

4. Due Diligence Notes:

• Investigate the company’s business model and revenue generation, as no turnover or profit and loss information is provided.
• Clarify the nature and terms of director loans and whether these are sustainable or convertible to equity.
• Review any contingent liabilities or off-balance-sheet obligations not disclosed in the accounts.
• Examine cash flow statements or bank statements to assess liquidity and operational cash burn.
• Confirm the reason for the continued negative equity position and plans to restore financial health.