DEVTECH CLOUD SOLUTIONS LTD

Executive Summary

Devtech Cloud Solutions Ltd is a small, micro-entity IT consultancy with stable net assets and no compliance issues, indicating low immediate financial risk. However, the negative fixed assets figure and minimal share capital warrant further investigation to confirm asset quality and financial resilience. Overall, the company appears operationally stable but limited in scale.

DEVTECH CLOUD SOLUTIONS LTD - Analysis Report

Company Number: 12844776

Analysis Date: 2025-07-20 13:39 UTC

1. Risk Rating: LOW
   Devtech Cloud Solutions Ltd presents a low risk profile based on the available financial data. The company is solvent with positive net assets and net current assets for the last three years. No overdue filings or compliance issues are noted, and the company operates within the micro-entity framework, suggesting a small but stable operation.

2. Key Concerns:

• Negative Fixed Assets in 2024: The fixed assets figure is reported as a negative value (-£657), which is unusual and may indicate asset write-downs, disposals, or accounting adjustments that require clarification.
• Share Capital Minimal: The company’s share capital is only £1.00, which is very low and may limit financial flexibility or investor confidence.
• Limited Scale and Workforce: With only 2 employees on average, the company’s operational scale is very small, which may impact its ability to scale or absorb shocks.

3. Positive Indicators:

• Consistent Positive Net Current Assets and Net Assets: The company has maintained positive net working capital and net assets over the last three years (~£9,400 to £10,100), indicating ongoing solvency and ability to meet short-term obligations.
• On-Time Filing and Compliance: No overdue accounts or confirmation statements, suggesting good regulatory compliance and governance.
• Director Stability and Control Transparency: Two directors with clear roles and a named person with significant control owning 25-50% shares, providing transparency and stable leadership.

4. Due Diligence Notes:

• Investigate the cause and accounting treatment behind the negative fixed assets figure in 2024 to assess any underlying asset impairments or errors.
• Review cash flow statements and profit & loss data (not provided here) to verify operational cash generation and sustainability given the small size and limited capital base.
• Confirm the nature of liabilities included in current liabilities (£27,888) to understand short-term obligations and any contingent risks.
• Understand the business model and client base given the SIC code (62020 - IT consultancy) and small employee count to assess growth potential and operational risks.