Company Number: 13294451

Analysis Date: 2025-07-29 14:13 UTC

1. Risk Rating: LOW
   The financial statements of Entasis Holdings Limited indicate a strong liquidity position with significant cash reserves and net current assets substantially exceeding current liabilities. The company is active, up to date with its filings, and shows no indication of insolvency or operational distress.

2. Key Concerns:

• Director Advances: There is a notable director loan balance (£57,233) outstanding at year-end which should be monitored for repayment terms and potential impact on cash flow.
• Lack of Income Statement: The accounts are filed as "filleted" small company accounts without an income statement, limiting insight into profitability and operational cash flows.
• Reliance on Group Transactions: Debtors and creditors include significant amounts owed to/from group undertakings, which could amplify risk if the group experiences financial difficulty.

3. Positive Indicators:

• Strong Cash Position: Cash at bank increased to over £1.1 million, providing ample liquidity to meet short-term obligations.
• Positive Net Current Assets: Net current assets of approximately £1.08 million indicate good working capital management and solvency.
• Timely Filings: No overdue accounts or confirmation statements, demonstrating regulatory compliance and good governance.
• Stable Shareholders' Funds: Shareholders' equity increased from £529k in 2021 to over £1.07 million in 2024, reflecting retained earnings and capital injections.

4. Due Diligence Notes:

• Review director loan agreement details, repayment schedules, and any potential related party transaction disclosures.
• Obtain operating performance details (profit & loss, cash flow) to assess business sustainability beyond balance sheet strength.
• Understand the nature of group undertakings and intercompany balances to evaluate group financial health and risk exposure.
• Verify absence of contingent liabilities or off-balance sheet risks not disclosed in the filleted accounts.