Company Number: 13126023

Analysis Date: 2025-07-20 17:28 UTC

1. Risk Rating: HIGH
   The company exhibits a significant negative net asset position as at 31 December 2023 (£-115,986), deteriorating from a negative position in prior years, indicating solvency concerns. The current liabilities substantially exceed current assets, reflecting poor liquidity.

2. Key Concerns:

• Negative Net Assets & Working Capital Deficit: The balance sheet shows current liabilities (£122,534) far exceeding current assets (£6,548), indicating potential inability to meet short-term obligations.
• Rapid Deterioration in Financial Position: Net assets have moved from a positive £57,610 in 2022 to a negative £115,986 in 2023 with no fixed assets remaining, suggesting operational or financial distress.
• No Employees & Minimal Share Capital: The company reports zero employees and minimal share capital (£8), which may question operational sustainability and capital adequacy to support business activities.

3. Positive Indicators:

• No Filing Overdue: Accounts and confirmation statements are up to date with no overdue filings, indicating regulatory compliance.
• Active Website and Marketing Presence: The company maintains an active website, suggesting ongoing business activities in property branding services.
• Experienced Management: Presence of directors with business backgrounds and a corporate director entity may provide some governance structure.

4. Due Diligence Notes:

• Investigate the nature and cause of the significant increase in current liabilities in 2023. Are these trade payables, loans, or other debts?
• Clarify the absence of fixed assets in 2023, given prior years reported some fixed assets. Were assets sold or written off?
• Review cash flow statements (if available) to understand liquidity trends and how the company finances its operations currently.
• Assess the role and financial backing of Studio 63 Tailors LLP, which controls 75-100% of shares, to understand intra-group financial support or risks.
• Examine contracts, revenue streams, and business model sustainability given zero employees and operational scale indications.
• Confirm whether any contingent liabilities or off-balance sheet obligations exist.