DELSYS TECHNOLOGY LIMITED

Executive Summary

DELSYS TECHNOLOGY LIMITED, a newly incorporated micro-entity engaged in biotechnology research, shows a solid asset base but faces potential liquidity and solvency challenges due to significant long-term creditors and negative net current assets. While regulatory compliance and ownership structure are positive, limited operating history and financial data warrant careful further review to assess ongoing viability and risk exposure.

DELSYS TECHNOLOGY LIMITED - Analysis Report

Company Number: 15114693

Analysis Date: 2025-07-29 19:13 UTC

1. Risk Rating: MEDIUM
   The company has substantial fixed assets and positive net assets, indicating some capital backing; however, the high level of creditors due after one year (£1,053,594) relative to current assets and net current liabilities signals potential solvency and liquidity risks. The short trading history and micro-entity status limit the depth of financial insight.

2. Key Concerns:

• High Long-term Creditors: Over £1 million in creditors falling due after one year with minimal current assets could pressure future cash flows and solvency if liabilities are not well managed.
• Negative Net Current Assets: Current liabilities exceed current assets by £16,944, indicating potential liquidity constraints in the short term.
• Limited Operating History: Incorporated in September 2023, the company has a very brief trading history, making it difficult to assess operational stability or track record.

3. Positive Indicators:

• Strong Net Assets Position: Net assets of £1,127,625 supported mainly by fixed assets demonstrate an asset base that can potentially support business operations or secure financing.
• No Overdue Filings: Compliance with filing deadlines for accounts and confirmation statements suggests good regulatory discipline and governance so far.
• Clear Ownership and Control: Single significant controller with 75-100% ownership provides clarity in decision-making and accountability.

4. Due Diligence Notes:

• Verify the nature and terms of the long-term creditors to assess repayment schedules, interest obligations, and any covenants that may impact financial flexibility.
• Review cash flow projections and working capital management plans to understand how the company intends to address negative net current assets and meet short-term liabilities.
• Obtain more detailed operational data and strategic plans given the company’s very recent incorporation and name changes to evaluate business sustainability and growth prospects.
• Confirm the valuation method for fixed assets to understand their liquidity and realizable value in a stress scenario.