Company Number: 12801629

Analysis Date: 2025-07-20 16:18 UTC

1. Risk Rating: HIGH
   The company exhibits significant liquidity issues, with consistently negative net current assets and current liabilities exceeding current assets by a material amount. Despite being active and filing on time, the financial position shows strained working capital that elevates solvency risk.

2. Key Concerns:

• Negative Net Current Assets: In 2024, net current assets are negative £123,084, an improvement from prior years but still a red flag indicating short-term liquidity pressure.
• High Current Liabilities: Current liabilities stand at £264,317 against current assets of £141,233, suggesting potential difficulties in meeting short-term obligations as they fall due.
• Declining Fixed Asset Investments: Investments decreased materially from £357,643 in 2023 to £158,670 in 2024, which may indicate asset disposals or write-downs impacting company value and operational stability.

3. Positive Indicators:

• Timely Filing Compliance: Accounts and confirmation statements are up to date, reflecting good regulatory compliance.
• Modest Shareholders’ Funds: Positive shareholders’ funds of £35,586 in 2024, showing some retained earnings despite prior years' losses.
• Cash Position Improved: Cash increased significantly to £141,166 in 2024 from just £2,624 in 2023, which may provide a short-term buffer for liquidity needs.

4. Due Diligence Notes:

• Investigate the nature and recoverability of the fixed asset investments and reasons for their significant decline.
• Review the composition and maturity profile of current liabilities to assess immediate solvency risks.
• Examine cash flow statements and operational revenue streams to determine sustainability and ability to service liabilities.
• Clarify the relationship with directors regarding the outstanding director’s advance of £505 and any potential related party risks.
• Assess the company’s business model under SIC codes 96090 and 64209 to understand revenue generation and market positioning.