DRIVE-PAVE NW LTD

Executive Summary

Drive-Pave NW Ltd demonstrates a low risk profile with positive working capital and sound regulatory compliance. However, a slight decline in net assets and increased deferred income warrant further review. Overall, the company appears solvent and operationally stable within its micro-entity scale.

DRIVE-PAVE NW LTD - Analysis Report

Company Number: 13465341

Analysis Date: 2025-07-29 17:51 UTC

1. Risk Rating: LOW

Justification: Drive-Pave NW Ltd is a micro private limited company with a stable financial position indicated by positive net current assets and shareholders' funds. The company is active, compliant with filing deadlines, and shows no indication of insolvency or liquidity distress.

2. Key Concerns:

• Declining Net Assets: The net assets have decreased from £5,868 in 2023 to £4,718 in 2024, which may suggest some erosion of equity that warrants monitoring.
• Accruals and Deferred Income Increase: The accruals and deferred income have more than doubled from £840 in 2023 to £1,800 in 2024, which may impact cash flow timing and should be reviewed.
• Limited Scale and Workforce: Operating as a micro-entity with only one employee (the director) and modest fixed assets could limit operational resilience and growth capacity.

3. Positive Indicators:

• Positive Net Current Assets: The company maintains a positive working capital position (£1,910 in 2024), indicating short-term liquidity to meet obligations.
• Compliance and Administration: Accounts and confirmation statements are up to date with no overdue filings, reflecting good regulatory compliance.
• Director Stability and Control: A single director and 75-100% shareholder control provides clear governance and decision-making authority.

4. Due Diligence Notes:

• Investigate the reasons behind the decrease in net assets and whether this is a result of operational losses or accounting adjustments.
• Clarify the nature and timing of accruals and deferred income to assess any potential impact on cash flows.
• Review the company’s revenue trends, profitability, and contracts given limited publicly available financial data.
• Assess the director's plans for business growth or capital injection to ensure sustainability given the small scale.
• Confirm no pending legal or regulatory issues beyond available data.