DELPH PROJECT SERVICES LIMITED

Executive Summary

Delph Project Services Limited is a recently incorporated management consultancy with positive working capital but rising current liabilities and limited cash reserves, presenting a moderate solvency and liquidity risk. The company is compliant with filing requirements and shows signs of business growth; however, further investigation into debtor quality and liability increases is advised to fully assess financial stability. Governance is concentrated in a single director, which may require monitoring.

DELPH PROJECT SERVICES LIMITED - Analysis Report

Company Number: 13731684

Analysis Date: 2025-07-29 17:00 UTC

1. Risk Rating: MEDIUM
   Delph Project Services Limited shows modest positive net current assets but with increasing current liabilities and relatively low cash balances, indicating moderate solvency and liquidity risk given the company's very early stage and limited financial history.

2. Key Concerns:

• Rising Current Liabilities: Current liabilities more than tripled from £27,005 in 2022 to £85,848 in 2023, driven largely by increased VAT and tax-related payables, which could strain cash flow.
• Low Cash Reserves: Cash on hand is only £14,560 as of 2023 year-end, which may be insufficient to cover near-term obligations given the liability profile.
• Concentration of Control: Single director and 75-100% owner, Mr. Stephen Anthony Reddin, implying potential governance risk and dependency on one individual.

3. Positive Indicators:

• Positive Net Current Assets: Despite rising liabilities, net current assets remain positive at £10,367, reflecting an ability to cover short-term debts.
• Consistent Debtor Growth: Debtors increased significantly from £34,439 to £81,655, indicating potentially expanding business activity or receivables under management.
• Timely Filings: Both accounts and confirmation statement filings are up to date with no overdue notices, showing compliance with statutory requirements.

4. Due Diligence Notes:

• Verify the nature and collectability of the debtor balances, especially the £30,810 directors’ current accounts and £50,845 amounts owed by participating interests, to assess cash flow reliability.
• Investigate the causes behind the sharp increase in current liabilities, particularly VAT and tax obligations, to understand if these are timing issues or indicative of operational cash flow stress.
• Review any contractual or contingent liabilities not reflected in the balance sheet and confirm the absence of director disqualifications or regulatory concerns.