EARTH ARCHITECTURE LAB

Executive Summary

Earth Architecture Lab is a newly established micro-entity with a strong liquidity position and no overdue filings, indicating low immediate financial risk. However, the absence of revenue, employees, and frequent director turnover warrants further investigation to assess operational sustainability and governance stability. Overall, current evidence suggests prudent management and good compliance, but limited operational history constrains a full risk assessment.

EARTH ARCHITECTURE LAB - Analysis Report

Company Number: 14502369

Analysis Date: 2025-07-29 20:02 UTC

1. Risk Rating: LOW

Justification: Earth Architecture Lab is a recently incorporated micro-entity with strong net current assets relative to current liabilities, no overdue filings, and no indication of financial distress or insolvency risk. The company has complied with its filing obligations on time and maintains positive equity. There is no evidence of operational or regulatory issues in the available data.

2. Key Concerns:

• Lack of revenue and profit data: The company’s accounts only show balance sheet information with current assets of £39,911 and current liabilities of £1,020, and no indication of income or operational cash flows, which limits the ability to assess sustainability.
• No employees reported: The company had zero employees during the period, which may imply limited ongoing operational capacity or reliance on volunteers or external contractors.
• Frequent director changes: Since incorporation in late 2022, the company has had five director appointments and resignations within a short period, which could raise governance stability questions, although no misconduct is indicated.

3. Positive Indicators:

• Strong liquidity position: The net current assets of £38,891 signify the company can cover its short-term obligations comfortably.
• Timely compliance: No overdue accounts or confirmation statements; filings are current, suggesting good governance and regulatory compliance.
• Registered charity status: Achieved in January 2024, which may provide access to funding and enhance credibility.
• Ownership distribution: Multiple persons with significant control holding 25-50% voting rights each, indicating diversified control and potential internal checks and balances.

4. Due Diligence Notes:

• Investigate the company’s business model and revenue generation plans, given the absence of income and employee data.
• Review director backgrounds and reasons for recent changes to understand potential impacts on strategic direction and governance.
• Confirm the nature of current assets (likely cash or equivalents) and any liabilities or commitments not reflected in filings.
• Assess the company’s funding sources and sustainability of operations given the early stage and micro classification.
• Verify the implications of its limited by guarantee structure on liability and financial commitments.