ELECTRIC OWL LTD

Executive Summary

Electric Owl Ltd is a newly established micro-entity with limited financial resources and a negative working capital position, raising material liquidity and solvency concerns. While current compliance is satisfactory, significant uncertainty remains around operational sustainability and funding. Further due diligence on business plans and cash flow is recommended before investment consideration.

ELECTRIC OWL LTD - Analysis Report

Company Number: 15353446

Analysis Date: 2025-07-29 19:36 UTC

1. Risk Rating: HIGH
   Justification: The company is newly incorporated with a very limited operating history, possesses negative net current assets indicating liquidity issues, and minimal capitalisation with negligible fixed and current assets.

2. Key Concerns:

• Negative net current assets (£-452) suggest the company’s short-term liabilities exceed its current assets, posing liquidity risk.
• Minimal asset base (£1,202 fixed assets and £112 current assets) and low net assets (£750) reflect very limited financial resources to absorb shocks or fund operations.
• The company is very recently formed (Dec 2023) with only one employee and no trading history disclosed, limiting visibility on operational viability or revenue generation.

3. Positive Indicators:

• No overdue filings or compliance issues; accounts and confirmation statements are up to date indicating good regulatory adherence.
• Sole director and 100% shareholder appears engaged, with no indications of disqualification or governance concerns.
• No off-balance sheet liabilities or guarantees, limiting hidden financial risks.

4. Due Diligence Notes:

• Investigate the company’s business model, revenue generation plans, and cash flow projections given the negative working capital position.
• Confirm the source and sustainability of the £750 equity capital and whether any further funding is planned or required.
• Review contracts, customer base, and any contingent liabilities not captured in accounts, given the early stage of the business.