Company Number: NI670040

Analysis Date: 2025-07-20 17:08 UTC

1. Risk Rating: HIGH
   The company exhibits persistent negative net assets and net liabilities, with a significant shortfall in working capital. This raises serious concerns about its solvency and ability to meet obligations as they fall due.

2. Key Concerns:

• Negative Net Assets and Shareholders’ Funds: The company’s net liabilities have worsened from -£5,945 in 2023 to -£2,663 in 2024, indicating ongoing financial distress.
• Severe Working Capital Deficit: Current liabilities (£398,756) greatly exceed current assets (£5,108), resulting in a net current liability position of approximately -£393,648, signalling liquidity risk.
• No Employees and Limited Operational Scale: The company reported zero employees and minimal share capital (£2), suggesting limited operational capacity and potential dependence on directors or external funding.

3. Positive Indicators:

• Timely Filing Compliance: Accounts and confirmation statements are up to date with no overdue filings, indicating sound regulatory compliance.
• Growth in Fixed Assets: Fixed assets increased significantly from £272,053 in 2023 to £396,193 in 2024, which could reflect asset acquisition or capital investment aligned with its real estate focus.
• Stable Director Structure: Directors appear stable with no adverse records noted, and a clear person with significant control identified, supporting governance transparency.

4. Due Diligence Notes:

• Investigate the nature and terms of current liabilities, especially those due within one year and beyond, to assess repayment risk and creditor relationships.
• Clarify the composition and valuation of fixed assets to confirm asset quality and potential for liquidity realization.
• Review cash flow statements and management accounts to evaluate ongoing operational cash flows and funding sources, given the absence of employees and negative working capital.
• Explore the business model viability, given the micro-entity status and limited operational scale, to understand how the company intends to return to profitability or positive equity.
• Confirm no director disqualifications or governance issues beyond publicly available information.