Company Number: 13797444

Analysis Date: 2025-07-20 17:35 UTC

1. Risk Rating: HIGH
   The company exhibits significant solvency and liquidity concerns as of the latest financial year-end, with net current liabilities and negative net assets indicating an inability to meet short-term obligations without additional funding or asset disposals.

2. Key Concerns:

• Negative Net Assets: The company’s net assets declined sharply from £42,507 at the end of 2022 to -£2,216 in 2023, signaling erosion of shareholder equity and potential insolvency risk.
• Severe Working Capital Deficit: Current liabilities (£25,338) far exceed current assets (£459) as of 31 December 2023, resulting in a negative net current asset position of -£24,879, which raises immediate liquidity concerns.
• Declining Fixed Assets and Profitability Pressure: Fixed assets decreased from £35,902 to £22,663, and the company recorded a loss of £1,355 in 2023 after small profit in prior year, indicating operational challenges or asset impairments.

3. Positive Indicators:

• Consistent Turnover: Revenue remained fairly stable around £50k-£52k, evidencing some degree of ongoing business activity and market presence.
• Compliance with Filings: Accounts and confirmation statements are filed on time, indicating adherence to regulatory obligations and no immediate governance red flags.
• Sole Director with Full Control: The single director and 100% shareholder (Mr. Marcin Wolski) suggests clear accountability and streamlined decision-making.

4. Due Diligence Notes:

• Investigate reasons for the large decline in fixed assets and whether this relates to disposals, impairment, or revaluation.
• Clarify the nature and timing of current liabilities to assess if repayment demands pose imminent risk.
• Review cash flow statements and bank balances (not provided) to evaluate liquidity beyond balance sheet snapshot.
• Understand operational changes or market conditions impacting profitability and asset base.
• Confirm no off-balance sheet liabilities or contingent risks that could exacerbate financial strain.