DPT CONSULTING LTD

Executive Summary

DPT CONSULTING LTD shows a concerning decline in financial strength over its two years of operation, with a sharp drop in current and net assets in the latest year. While regulatory filings are up to date and governance appears stable, the significant asset reduction raises solvency and liquidity risks that warrant further investigation. Investors should proceed cautiously and seek additional financial disclosures and operational information before considering exposure.

DPT CONSULTING LTD - Analysis Report

Company Number: 14226382

Analysis Date: 2025-07-20 12:16 UTC

1. Risk Rating: HIGH
   The company exhibits a significant deterioration in financial position over the latest reporting period, with net assets falling sharply from £28,008 in 2023 to £3,512 in 2024. This sudden drop in current assets and net assets raises solvency concerns, despite no current liabilities reported for 2024.

2. Key Concerns:

• Drastic reduction in current assets: Current assets plummeted from £33,711 in 2023 to £2,809 in 2024, indicating potential liquidity issues or asset disposals.
• Significant decline in net assets: Net assets decreased by over 87%, which could signal operational losses or capital erosion threatening solvency.
• Limited operational scale: The company employs only one person and is classified as a micro-entity, suggesting limited business diversification and capacity to absorb financial shocks.

3. Positive Indicators:

• No current liabilities reported for 2024: Absence of short-term creditors may indicate no immediate external debts or payables pressure.
• Compliance with filing requirements: Both accounts and confirmation statements are filed timely with no overdue submissions, reflecting good regulatory compliance.
• Clear ownership and governance: Director and Persons with Significant Control are properly recorded and appear stable, reducing governance risk.

4. Due Diligence Notes:

• Investigate the cause of the large decrease in current assets and net assets between 2023 and 2024, including whether this reflects cash burn, asset disposals, or accounting adjustments.
• Review cash flow statements or bank statements (if available) to assess liquidity and working capital management.
• Confirm the nature and continuity of consulting contracts or revenue streams, given the micro-entity status and limited staffing.
• Assess any contingent liabilities or off-balance-sheet exposures not reflected in the micro-entity accounts.
• Verify related party transactions or intra-group balances that may impact financial stability.