Company Number: 12502000

Analysis Date: 2025-07-29 16:06 UTC

1. Risk Rating: HIGH
   The company shows persistent negative net asset values (shareholders' funds) indicating insolvency on a balance sheet basis. Its long-term liabilities significantly exceed total assets. Current liabilities surpass current assets, revealing liquidity stress.

2. Key Concerns:

• Solvency Deficit: Negative net assets of £26,820 in 2024, deteriorating from £22,693 in 2023, with total liabilities exceeding assets.
• Liquidity Mismatch: Current liabilities (£23,379) exceed current assets (£2,562) as of 2024, suggesting difficulty meeting short-term obligations.
• No Operating Income or Employees: No reported employees or operational turnover, raising questions about ongoing business activity and revenue generation for sustainability.

3. Positive Indicators:

• Stable Fixed Asset Base: Consistent fixed assets valued at £265,400 over multiple years, indicating some asset backing.
• Timely Filings: No overdue accounts or confirmation statements, reflecting regulatory compliance and governance diligence.
• Single Director with Stable Appointment: Director appointed since incorporation, potentially indicating continuity in management.

4. Due Diligence Notes:

• Investigate nature and valuation of fixed assets (£265,400) to assess realizability or impairment risk.
• Clarify structure and terms of long-term liabilities (£271,403) to understand creditor exposure and repayment schedules.
• Confirm current business operations and revenue streams given absence of employees and minimal current assets.
• Review director’s strategy and plans for remedying negative equity and improving liquidity.
• Assess any related party transactions or guarantees that could impact risk profile.