Company Number: 14321205

Analysis Date: 2025-07-20 15:49 UTC

1. Risk Rating: HIGH
   The company shows a negative net asset position in its most recent financial year, indicating solvency concerns. Current liabilities exceed current assets, signaling liquidity risks and potential difficulties in meeting short-term obligations.

2. Key Concerns:

• Negative net assets (£-1,391) as of August 2024 compared to positive net assets in previous years, reflecting a decline in financial stability.
• Current liabilities (£4,417) surpass current assets (£3,026), resulting in negative working capital, which may impair operational cash flow.
• Limited financial data available due to micro-entity status and lack of profit and loss statement, restricting visibility into profitability and cash generation.

3. Positive Indicators:

• Company is current with statutory filings (accounts and confirmation statements), indicating compliance with regulatory requirements.
• Small scale with only one employee, potentially allowing for lower fixed costs and operational flexibility.
• Ownership and control centralized under a single individual, which may facilitate quicker decision-making.

4. Due Diligence Notes:

• Investigate reasons behind the deterioration in net assets between 2023 and 2024, including any unusual expenses or write-offs.
• Assess cash flow statements, if available, to determine if liquidity pressures are short-term or systemic.
• Review contractual obligations and creditor terms to understand immediate financial commitments.
• Confirm the nature and timing of payments to creditors and any potential disputes or delays.
• Examine any related party transactions given sole ownership and directorship.
• Evaluate business model sustainability given the micro-entity scale and industry risks associated with take-away food operations.