CREATE & INFLATE LIMITED

Executive Summary

Create & Inflate Limited is a recently incorporated micro-entity with negative net assets and reliance on long-term creditors, which poses a high solvency risk. While regulatory compliance is current and governance appears sound, the limited financial history and capital structure require further scrutiny to assess sustainability. Investors should focus on understanding funding arrangements and operational plans before engagement.

CREATE & INFLATE LIMITED - Analysis Report

Company Number: 14459351

Analysis Date: 2025-07-20 12:24 UTC

1. Risk Rating: HIGH
   The company shows net liabilities of £1,904 with creditors due after one year exceeding current assets, indicating negative net worth and potential solvency concerns for a very young entity.

2. Key Concerns:

• Negative net assets (net liabilities of £1,904) within the first financial year raise questions about capital adequacy and ability to meet long-term obligations.
• Significant long-term creditors (£10,364) compared to modest current assets (£9,270), suggesting reliance on external funding or loans.
• Very limited financial history and micro-entity status restrict transparency and make it difficult to assess operational sustainability.

3. Positive Indicators:

• No overdue statutory filings; accounts and confirmation statement are up to date, indicating compliance with regulatory requirements.
• Directors are fully disclosed with no apparent disqualifications or governance issues.
• Small employee base (2 staff) consistent with micro-entity classification, potentially limiting fixed overheads.

4. Due Diligence Notes:

• Clarify nature and terms of the £10,364 long-term liabilities to assess repayment risk and creditor relationships.
• Examine cash flow projections and funding plans given the negative equity and limited asset base.
• Evaluate business model viability in specialised design and event catering sectors, considering the company's infancy and competitive environment.
• Verify absence of contingent liabilities or off-balance sheet obligations not reflected in micro-entity accounts.