Company Number: 13150633

Analysis Date: 2025-07-29 15:16 UTC

1. Risk Rating: HIGH

Justification: The company shows a significant increase in liabilities falling due after more than one year (£202,384 in 2024 compared to none in 2023), combined with negative current liabilities in 2024 reported as (£-202,384) which appears inconsistent or misclassified. The large director loans (£82,134) and taxes and social security creditors (£138,425) due within one year also suggest cash flow pressures. Despite sizable net assets, the liability structure and creditor balances raise concerns about solvency and liquidity.

2. Key Concerns:

• Substantial non-current creditor balances (£202,384) newly reported in 2024, creating potential long-term solvency risk.
• Significant tax and social security liabilities (£138,425 current and £217,492 non-current) indicating possible tax arrears or disputes.
• Large director loans (£82,134) suggesting dependence on related party financing, which may not be sustainable or enforceable.

3. Positive Indicators:

• The company is active and compliant with filing deadlines, indicating regulatory compliance and governance discipline.
• Net assets and shareholders’ funds have increased significantly from £117,217 in 2023 to £283,850 in 2024, reflecting growth in retained earnings or revaluations.
• Positive net current assets of £56,937 in 2024, although reduced from prior years, still show some short-term asset coverage.

4. Due Diligence Notes:

• Clarify the nature and classification of the large creditor balances, particularly the non-current liabilities and their terms.
• Investigate the cause and status of the tax and social security liabilities to assess any risk of enforcement or penalties.
• Review the director loan agreements for repayment terms and assess the risk of these loans being called in or written off.
• Verify the accuracy of creditor and current liability figures, as some negative values and classifications may indicate reporting or presentation anomalies.
• Confirm operational cash flow generation and sustainability given zero reported employees and reliance on external financing.