Company Number: 13029177

Analysis Date: 2025-07-20 12:51 UTC

1. Risk Rating: MEDIUM
   The company shows marginal working capital with net current assets very close to zero (£17 for 2025), indicating tight liquidity. While it remains solvent with positive shareholders' funds (£796), the low asset base and minimal equity buffer raise concerns about its ability to absorb financial shocks.

2. Key Concerns:

• Liquidity Risk: Current assets (£22,875) barely cover current liabilities (£22,858), offering almost no liquid cushion for day-to-day operations.
• Thin Capitalization: Shareholders’ funds have declined from £1,285 in 2024 to £796 in 2025, suggesting limited retained earnings and capital reserves.
• Minimal Operational Scale: Average employee count is 1, signaling a very small operational footprint, which may affect business continuity and growth prospects.

3. Positive Indicators:

• Timely Filing Compliance: The company is up to date with both accounts and confirmation statement filings, indicating good regulatory discipline.
• No Indication of Insolvency: The company is active, not in liquidation or administration, and shows positive net assets.
• Recent Director Appointment: Appointment of a new director with production management expertise may reflect an operational focus and potential strategic adjustment.

4. Due Diligence Notes:

• Review detailed cash flow statements and bank balances to confirm liquidity beyond balance sheet snapshots.
• Investigate reasons behind declining shareholders’ funds and whether losses or distributions have impacted equity.
• Assess customer base, contracts, and revenue streams given the very small scale of operations and industry segments (machinery sales agency and remediation services).
• Verify any contingent liabilities or off-balance-sheet obligations not apparent in micro-entity filings.
• Confirm director background, especially the newly appointed director, for relevant industry experience and governance standards.