Company Number: 12441567

Analysis Date: 2025-07-20 12:15 UTC

1. Risk Rating: LOW
   Darvell Homes Limited demonstrates a stable solvency position with positive net current assets and shareholders’ funds, no overdue filings, and consistent compliance with Companies House requirements. The company's micro-entity status and small operational scale reduce complexity and potential financial risk.

2. Key Concerns:

• Decline in net current assets from £153,112 in 2021 to £5,707 in 2024, indicating a significant reduction in working capital over recent years.
• Very limited current assets (£6,208) and a small scale of operations (2 employees), which may constrain the company’s ability to absorb financial shocks or expand.
• Absence of detailed profitability or cash flow information in available data limits assessment of operational earnings sustainability.

3. Positive Indicators:

• No overdue accounts or confirmation statements; filings are up to date, reflecting good regulatory compliance.
• Positive net current assets and shareholders’ funds in the latest financial year, indicating the company can meet short-term liabilities.
• Directors are longstanding and appear stable with no adverse records reported, supporting sound governance.

4. Due Diligence Notes:

• Investigate reasons behind the sharp decline in net current assets since 2021 to understand underlying cash flow or investment changes.
• Obtain profit and loss statements or cash flow data to assess operational performance and liquidity beyond balance sheet snapshots.
• Review any contingent liabilities or off-balance sheet commitments that may impact solvency risk.
• Confirm the nature and valuation of real estate assets, given the company’s SIC codes relate to property owning and trading.