Company Number: 12786521

Analysis Date: 2025-07-20 15:40 UTC

1. Risk Rating: HIGH
   The company shows a negative net asset position (shareholders’ funds of -£461 at 2024 year-end), indicating insolvency on a balance sheet basis. Current liabilities exceed current assets substantially, and total liabilities surpass total assets, posing a significant solvency risk.

2. Key Concerns:

• Negative Equity: The company’s net liabilities position worsened from -£2,824 in 2023 to -£461 in 2024, reflecting ongoing capital erosion and potential financial distress.
• High Long-Term Creditors: Creditors due after one year amount to over £658k, which exceeds total assets, suggesting heavy reliance on debt financing and potential difficulty meeting obligations.
• No Employees and Limited Operating Data: Zero employees and micro-entity status with minimal disclosures hinder assessment of operational sustainability; lack of operational scale raises concerns about business viability.

3. Positive Indicators:

• Stable Fixed Assets: Fixed assets remain consistent at £553k over multiple years, indicating some tangible asset backing.
• Timely Filing and Compliance: No overdue accounts or confirmation statements, showing compliance with statutory filing requirements and governance discipline.
• Experienced Directors: The directors have long-standing appointments since incorporation with no adverse records noted, suggesting stable leadership.

4. Due Diligence Notes:

• Verify the nature and terms of the long-term liabilities (~£658k) to assess repayment schedules and creditor relationships.
• Investigate cash flow statements (not provided) for liquidity trends and operational cash generation.
• Understand business model revenue streams and contracts to evaluate future sustainability given zero employees and negative equity.
• Review director disclosures and related party transactions for potential financial support or guarantees.
• Confirm whether the company is subject to any ongoing restructuring, creditor negotiations, or contingent liabilities.