Company Number: 15363367

Analysis Date: 2025-07-29 19:16 UTC

1. Risk Rating: HIGH
   The company shows significant negative net current assets (£-25,114) and net liabilities of the same amount as of 31 December 2024, indicating immediate solvency issues. The micro-entity balance sheet reveals current liabilities far exceeding current assets, a critical red flag for financial stability.

2. Key Concerns:

• Negative Working Capital: Current liabilities (£25,116) vastly exceed current assets (£2), suggesting inability to meet short-term obligations.
• Negative Net Assets and Shareholders' Funds: The company’s net liabilities imply erosion of equity, raising solvency risk.
• Very Recent Incorporation and Limited Operating History: Incorporated late 2023, with a single financial year, limiting track record and increasing uncertainty about operational sustainability.

3. Positive Indicators:

• No Overdue Filings: Both accounts and confirmation statement filings are up to date, indicating regulatory compliance so far.
• Active Status with Clear Governance: The company is active with a current director in place, and ownership/control is transparently recorded.
• Micro Entity Filing: Simplified reporting requirements reduce administrative burden, suitable for a small startup phase.

4. Due Diligence Notes:

• Investigate the cause of the large current liabilities and whether these are related-party loans, trade creditors, or other obligations.
• Clarify the nature and timing of expected cash inflows or capital injections to cover the negative working capital gap.
• Assess business plan viability and funding sources given the company’s very recent formation and negative equity position.
• Review director background and any prior company involvement for reputational or governance risks.