DTK GEORGEHAM LIMITED

Executive Summary

DTK GEORGEHAM LIMITED currently exhibits high financial risk due to negative net assets and a significant working capital deficit, raising solvency and liquidity concerns. While regulatory compliance is satisfactory and fixed assets appear stable, further investigation into asset realizability and liabilities structure is essential to assess ongoing viability. The company’s sustainability depends on addressing these financial imbalances promptly.

DTK GEORGEHAM LIMITED - Analysis Report

Company Number: 13004217

Analysis Date: 2025-07-20 14:40 UTC

1. Risk Rating: HIGH
   The company shows a net liability position as of the latest financial year end, indicating solvency concerns. The fixed assets are substantial but current liabilities exceed current assets by a large margin, suggesting liquidity stress.

2. Key Concerns:

• Negative Net Assets: The balance sheet at 30 November 2023 reports net assets of -£275, a deterioration from a positive £100 the previous year, signaling potential insolvency risk.
• Working Capital Deficit: Current liabilities (£504,855) vastly exceed current assets (£10), highlighting a severe shortfall in liquid resources to meet short-term obligations.
• Minimal Share Capital and Equity: Share capital and shareholders’ funds remain nominal (£100 initially, now -£275), indicating negligible equity buffer to absorb losses or financial shocks.

3. Positive Indicators:

• Consistent Fixed Asset Base: Fixed assets have increased slightly year-on-year to £504,470, suggesting some asset stability or investment.
• Timely Filing Compliance: Accounts and confirmation statements are up to date with no overdue filings, indicating good regulatory compliance and governance practices.
• Single Director with Relevant Expertise: The sole director is an accountant, which may support sound financial oversight.

4. Due Diligence Notes:

• Investigate the nature and valuation of fixed assets, and whether they are readily realizable to cover liabilities.
• Examine the composition and maturity of current liabilities to understand if any restructuring or refinancing has occurred or is planned.
• Clarify the company’s business model and revenue generation given the micro-entity status and minimal current assets.
• Review potential related party transactions or off-balance sheet liabilities that could impact financial health.
• Assess cash flow statements or management accounts (if available) for liquidity trends and operational sustainability.