DCOMMERCE LTD

Executive Summary

Dcommerce Ltd exhibits a low risk rating supported by positive net assets growth, healthy liquidity, and up-to-date regulatory compliance. Key concerns include its minimal share capital, single-person management structure, and the nature of its investments, which require further due diligence. The company shows operational stability and profitability within its small company framework.

DCOMMERCE LTD - Analysis Report

Company Number: SC680177

Analysis Date: 2025-07-29 20:32 UTC

1. Risk Rating: LOW
   Dcommerce Ltd demonstrates a solid equity base with net assets of £73,845 as of the latest accounts (2023-11-30), showing growth from £41,188 in 2021. The company maintains a positive net current asset position (£42,307), strong cash reserves (£53,306), and has no overdue filings, indicating good regulatory compliance and operational stability for its size and sector.

2. Key Concerns:

• Limited Share Capital: The company has a nominal share capital of only £1.00, which may limit its ability to raise equity finance quickly if needed.
• Single Director and Employee: The business is run by one director who is also the sole employee, which could pose operational risk if continuity planning or management bandwidth is insufficient.
• Investments Valuation: A significant portion of fixed assets is investments (£28,616), whose nature and liquidity are not detailed, potentially impacting asset realizability in stress scenarios.

3. Positive Indicators:

• Strong Liquidity: Cash holdings exceed £53k with net current assets positive and increasing, suggesting good short-term liquidity and ability to meet obligations.
• Regulatory Compliance: Accounts and confirmation statements are up to date and not overdue, showing adherence to filing requirements and good governance.
• Profit Retention: The profit and loss reserve has grown from £41,187 to £66,228, indicating retained earnings and business profitability or capital appreciation.

4. Due Diligence Notes:

• Clarify Composition and Liquidity of Investments: Assess the nature of the £28,616 investments to understand marketability and risk exposure.
• Review Director Capacity and Succession Plans: Investigate contingency measures given the single director and employee structure.
• Obtain Profit and Loss Account Details: Since the company filed filleted accounts, detailed P&L would help assess operational profitability and revenue trends.

Executive Summary:
Dcommerce Ltd presents a low financial risk profile with increasing net assets, strong liquidity, and compliant regulatory filings. The company’s reliance on a single director/employee and concentration in investments warrants further review to fully understand operational resilience and asset quality. Overall, the company appears financially stable for its scale and sector.