DML OFFSHORE & CONSTRUCTION SOLUTIONS LTD

Executive Summary

DML Offshore & Construction Solutions Ltd shows a stable short-term financial position with positive net current assets but lacks evidence of operational activity or revenue generation since incorporation. While regulatory compliance is maintained, the company's trading status and sustainability remain uncertain, warranting further investigation into its business operations and financial commitments.

DML OFFSHORE & CONSTRUCTION SOLUTIONS LTD - Analysis Report

Company Number: 13857352

Analysis Date: 2025-07-29 14:44 UTC

1. Risk Rating: MEDIUM
   The company's financial data indicates a modest net asset position and positive working capital, which supports short-term solvency. However, the absence of turnover figures, lack of employees, and limited operational history since incorporation in 2022 raise concerns about its ongoing operational sustainability and revenue generation.

2. Key Concerns:

• Lack of Revenue and Operational Activity: The accounts show no turnover or profit and an average of zero employees in the latest year, suggesting minimal or no trading activity. This significantly impacts business sustainability and cash flow prospects.
• Director’s Advances History: Previously, the director had an outstanding loan to the company (£9,596), which was cleared in the latest period. The past reliance on director funding could indicate limited external financing and potential cash flow constraints.
• Dormant SIC Code and Industry Classification Ambiguity: The primary SIC code listed is "Dormant Company," alongside a specialized construction activities code. This discrepancy suggests uncertainty about actual trading status, which may reflect underutilization of business capacity or delays in commencing operations.

3. Positive Indicators:

• Strong Working Capital Position: Current assets exceed current liabilities by £8,069 consistently over three years, indicating the company can meet short-term obligations.
• No Overdue Filings: Annual accounts and confirmation statements are filed timely, demonstrating regulatory compliance and good governance practices.
• Sole Director with Majority Control: Clear and stable ownership and management by a single director may allow for agile decision-making and consistent strategic direction.

4. Due Diligence Notes:

• Verify if the company has commenced active trading post the latest reporting date and assess revenue streams and contracts in place.
• Investigate the nature and status of director's advances and any other related party transactions for potential financial risks.
• Clarify the company's SIC code and confirm operational status to understand business activities and market positioning.
• Review cash flow statements and projections if available to evaluate liquidity beyond balance sheet snapshots.
• Assess any contingent liabilities or off-balance-sheet obligations not disclosed in the filings.