Company Number: 15510928

Analysis Date: 2025-07-20 16:50 UTC

1. Risk Rating: HIGH
   Copperleaf Polperro Limited shows significant insolvency risk due to negative net current assets (£-24,789) and net liabilities (£-10,901) in its first reported financial period, indicating it cannot meet current liabilities from current assets. The reliance on director and parent company loans without formal repayment terms compounds liquidity concerns.

2. Key Concerns:

• Negative Working Capital: The company’s current liabilities (£25,694) far exceed current assets (£905), reflecting immediate liquidity pressure.
• Dependence on Unsecured Loans: £15,751 loan from directors and £9,342 from parent company lack repayment schedules or interest, suggesting informal financing that may not be sustainable long-term.
• Start-Up Financial Distress: Despite being newly incorporated in 2024, the company is already in a net liability position, raising questions about operational cash flows and profitability going forward.

3. Positive Indicators:

• Active Status and Timely Filings: The company is active, with up-to-date accounts and confirmation statement filings, demonstrating regulatory compliance.
• Experienced Directors: Both directors have been in place since incorporation and are local, potentially providing stability and local market knowledge.
• Parent Company Control: The Claremont Hotel (Polperro) Limited holds 75-100% ownership and voting rights, possibly providing strategic support and financial backing.

4. Due Diligence Notes:

• Investigate the nature and terms of director and parent company loans, including any plans for formalisation or repayment.
• Examine cash flow projections and operational plans to assess how the company intends to improve working capital and return to profitability.
• Assess the business model viability in the take-away food sector in Polperro, including competitive positioning and market demand.
• Review any contingent liabilities or off-balance sheet exposures that may affect solvency.
• Confirm there are no director disqualification records or governance issues beyond current publicly available data.