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.