DOSOCO LIMITED

Executive Summary

DOSOCO Limited, incorporated in 2023, shows a high financial risk profile due to severe negative working capital and equity, with no trading activity reported. While statutory filings are current and governance appears intact, the company’s solvency and liquidity are under significant pressure. Further investigation into its asset base and intercompany liabilities is essential to assess future viability.

DOSOCO LIMITED - Analysis Report

Company Number: 15027920

Analysis Date: 2025-07-20 12:53 UTC

1. Risk Rating: HIGH
   DOSOCO Limited exhibits significant financial stress, evidenced by negative net current assets of £1,002,458 and negative shareholders' funds of £1,216 within its first financial year. The company’s liabilities substantially exceed its cash and assets, indicating a strong solvency risk.

2. Key Concerns:

• Severe Negative Working Capital: Current liabilities stand at £1,002,460 against virtually no current assets (only £2 cash), indicating immediate liquidity concerns and inability to meet short-term obligations.
• Negative Equity Position: Shareholders' funds are negative, reflecting accumulated losses or funding deficits, which raises questions about capital adequacy and financial sustainability.
• Non-Trading Status: The SIC code indicates a "Non-trading company," implying no active revenue generation or operational cash flow to support ongoing costs or liabilities.

3. Positive Indicators:

• Timely Filings: The company has filed its accounts and confirmation statements on time, suggesting compliance with statutory requirements and sound administrative governance.
• Clear Ownership and Governance: Directors and persons with significant control are clearly identified with no apparent disqualifications or governance flags.
• Fixed Asset Investment: The company holds a fixed asset investment valued at £1,001,244, which may represent a recoverable or strategic asset, though its liquidity and valuation underpinning should be verified.

4. Due Diligence Notes:

• Assess the nature and recoverability of the fixed asset investment (£1,001,244), including whether it is an investment in subsidiaries or other entities and its current market or realizable value.
• Clarify the origin and terms of the £1,000,000 owed to group undertakings to understand intercompany financing risks and repayment prospects.
• Investigate business plans or forthcoming trading activities, as current classification as a non-trading company and lack of revenue generation raise concerns about viability and going concern assumptions.
• Review directors’ statements and any additional disclosures regarding going concern, future funding, or plans to address the negative net assets.
• Confirm no outstanding regulatory or compliance issues beyond standard filings, including absence of audit due to small company exemption.