DHW PLASTERING AND BUILDING SERVICES LTD

Executive Summary

DHW Plastering and Building Services Ltd, a recently incorporated micro-entity in the construction sector, shows modest improvement in net assets but continues to face liquidity challenges and long-term liabilities. While regulatory compliance is maintained and governance appears stable, limited financial history and persistent working capital deficits warrant cautious monitoring. Further due diligence on cash flows and liabilities is recommended to fully assess financial stability.

DHW PLASTERING AND BUILDING SERVICES LTD - Analysis Report

Company Number: 14409253

Analysis Date: 2025-07-29 15:41 UTC

1. Risk Rating: MEDIUM
   The company shows some recovery in net assets compared to the prior year but continues to have significant working capital deficits and outstanding liabilities. Its micro-entity status limits transparency and detail, increasing risk assessment uncertainty.

2. Key Concerns:

• Negative Net Current Assets: The company has a working capital deficit of £15,079 as of the latest accounts, indicating potential liquidity strain to meet short-term obligations.
• Long-term Liabilities: The introduction of £8,050 in creditors falling due after one year raises solvency concerns, especially given the modest overall net assets of £3,218.
• Limited Financial History and Scale: Incorporated recently (Oct 2022), the company’s brief trading history and micro-entity reporting reduce visibility on operational stability and profitability trends.

3. Positive Indicators:

• Improved Net Asset Position: Net assets improved from a negative £17,174 in 2023 to a positive £3,218 in 2024, showing some financial recovery.
• No Overdue Filings: Accounts and confirmation statements are up to date, indicating compliance with regulatory requirements.
• Stable Directorship and Ownership: Directors and significant controllers have been consistent since incorporation, suggesting stable governance.

4. Due Diligence Notes:

• Assess the company’s cash flow generation and creditor payment track record to understand liquidity management.
• Investigate the nature and terms of the long-term liabilities (£8,050) to evaluate solvency risk.
• Review any management accounts or internal financial reports, if available, for updated operational performance beyond the limited statutory accounts.
• Confirm no director disqualifications or adverse regulatory actions affecting the directors or company.