Company Number: 12888189

Analysis Date: 2025-07-20 18:55 UTC

1. Risk Rating: LOW
   Design & Crafted Interiors Ltd exhibits a sound liquidity position with cash significantly exceeding current liabilities as of the latest accounts. The company maintains positive net current assets and shareholders’ funds that have increased year-on-year. The absence of overdue filings and a stable director roster further support a low risk profile.

2. Key Concerns:

• Increase in trade creditors from zero to £9,152 within the latest financial year warrants monitoring to ensure payables are managed timely.
• Slight reduction in called-up share capital from £5,000 to £4,000 could indicate minor capital restructuring; the impact on solvency should be reviewed.
• The company is exempt from audit and income statement disclosure under small companies regime, limiting comprehensive visibility into profitability and operational performance.

3. Positive Indicators:

• Cash balance increased substantially from £9,362 in 2022 to £24,999 in 2023, indicating improved liquidity.
• Net current assets and shareholders’ funds have grown from £8,520 to £12,231 reflecting strengthening equity and working capital.
• No overdue statutory filings and active status demonstrate compliance and good governance.
• Small, well-defined employee base (average 4 employees) suggests operational focus and manageable overheads.

4. Due Diligence Notes:

• Obtain and review detailed profit and loss data to assess earnings quality and operational sustainability since only balance sheet data is available.
• Clarify nature and aging of trade creditors to evaluate payment terms and potential liquidity pressure.
• Investigate the rationale and implications behind the reduction in share capital between 2022 and 2023.
• Review director changes and appointment history to confirm continuity and management stability beyond the data cutoff.
• Confirm no hidden contingent liabilities or off-balance sheet risks through supplementary disclosures or management commentary.