Company Number: 15400489

Analysis Date: 2025-07-19 12:44 UTC

1. Risk Rating: MEDIUM
   The company is newly incorporated with limited financial history, showing a small net asset base of £233 and net current liabilities of £7,619. While it is not currently overdue on filings and maintains modest assets, the negative working capital and reliance on directors' current accounts for liabilities indicate potential short-term liquidity pressure.

2. Key Concerns:

• Negative Net Current Assets: Current liabilities (£29,023) exceed current assets (£21,404) by £7,619, suggesting liquidity constraints to meet short-term obligations.
• Limited Operating History and Scale: Incorporated in January 2024 with only one financial year filed, making it difficult to assess operational sustainability and profitability trends.
• Directors’ Current Accounts as Significant Liability: £11,857 owed to directors indicates reliance on director funding, which may affect financial stability if this support is withdrawn.

3. Positive Indicators:

• Timely Compliance: Accounts and confirmation statements are filed on time with no overdue issues, indicating good regulatory compliance.
• Modest Fixed Asset Base: Tangible fixed assets of £7,852 (motor vehicles) support operational activities in plumbing and heating installation.
• Balanced Shareholder Control: Two directors each hold 25-50% shares and voting rights, suggesting clear governance structure with engaged owners.

4. Due Diligence Notes:

• Review cash flow forecasts and bank statements to assess liquidity management and ability to meet short-term liabilities.
• Investigate the nature and terms of directors’ current accounts to understand the sustainability of this financing and any repayment expectations.
• Obtain management accounts or operational metrics to evaluate revenue generation, margins, and growth prospects beyond the first year.
• Confirm absence of any contingent liabilities or pending legal/regulatory issues not disclosed in the accounts.