Company Number: 13640586

Analysis Date: 2025-07-29 20:03 UTC

1. Risk Rating: LOW
   MKL Performance Cars Ltd demonstrates a stable financial position for a micro-entity with positive net current assets and net assets improving over the last two years. There are no overdue filings or indications of regulatory non-compliance, and the company is active and not in liquidation.

2. Key Concerns:

• Thin Equity Base: Net assets are modest (£10,724 as of 2023), reflecting limited financial buffer against unexpected shocks.
• Concentration of Control: Single individual (Mr. Ebrahim Patel) holds 75-100% ownership and voting rights, which may raise governance concerns or risk of decision-making bottlenecks.
• Limited Financial Disclosure: As a micro-entity filing filleted accounts, detailed profit and loss or cash flow information is unavailable, restricting deeper liquidity or profitability analysis.

3. Positive Indicators:

• Improved Working Capital: Net current assets increased from £7,390 in 2022 to £15,149 in 2023, indicating better short-term liquidity management.
• Timely Filings: No overdue accounts or confirmation statements, suggesting good compliance with regulatory requirements.
• Operational Presence: Active website and telephone contacts confirm ongoing business activities consistent with SIC codes related to used car retail and related services.

4. Due Diligence Notes:

• Review management accounts or internal financials if available to assess profitability, cash flows, and revenue trends, given lack of P&L disclosures in public filings.
• Investigate the adequacy of working capital relative to operational scale to ensure liquidity cushions are sufficient.
• Assess the impact of ownership concentration on governance and risk controls, particularly any succession or continuity plans.
• Confirm the company's VAT registration status and any relevant tax compliance given the VAT number presence.