Company Number: 15166636

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

1. Risk Rating: HIGH
   Justification: The company shows negative net assets (£-35,819) and no turnover or current assets, yet it has creditors due after more than one year (£35,821). This indicates significant liabilities without corresponding assets or income, posing a high solvency risk.

2. Key Concerns:

   • Negative Equity: Shareholders’ funds stand at -£35,819, indicating the company is technically insolvent on a balance sheet basis.
   • No Revenue or Current Assets: The company generated zero turnover and holds no current assets, raising liquidity and operational sustainability concerns.
   • Long-Term Creditors: Existence of creditors due after more than one year without any assets or income to cover these liabilities suggests potential financial distress.

3. Positive Indicators:

   • Compliance with Filings: The company is current with account and confirmation statement filings, with no overdue submissions as of the latest dates.
   • Clear Ownership and Governance: Control is clearly defined with two directors/shareholders, and no red flags related to director conduct or disqualifications are apparent.
   • Small Micro Entity Status: The company benefits from micro-entity accounting exemptions, reducing administrative burdens.

4. Due Diligence Notes:

   • Investigate the nature and terms of the long-term creditors amounting to £35,821 to understand the source and repayment conditions.
   • Review planned business activities or funding strategies to determine how the company intends to generate revenue and improve its asset base.
   • Confirm whether the negative equity reflects initial setup costs or related party loans, and assess management’s plan to address solvency.
   • Verify the lack of turnover is due to company’s infancy (incorporated late 2023) rather than operational failure.