EPC AT HOME LTD

Executive Summary

EPC AT HOME LTD exhibits significant financial stress with persistent negative net current assets and shareholders’ funds, indicating potential solvency risks. While compliant with regulatory filings and governed by consistent directors, the company’s ongoing financial viability and liquidity position warrant careful further review. Prospective investors should seek detailed operational and cash flow data to adequately evaluate risk exposure.

EPC AT HOME LTD - Analysis Report

Company Number: 13558167

Analysis Date: 2025-07-29 20:18 UTC

1. Risk Rating: HIGH
   EPC AT HOME LTD presents a high risk profile primarily due to persistent and increasing net current liabilities and net negative equity, indicating financial distress and potential solvency issues.

2. Key Concerns:

• Negative Net Current Assets: The company shows a worsening net current liabilities position, increasing from -£6,742 (2021) to -£21,061 (2024), signaling liquidity stress and inability to cover short-term obligations with current assets.
• Negative Shareholders’ Funds: Shareholders’ funds have deteriorated steadily, standing at -£21,061 in 2024, reflecting accumulated losses or undercapitalization, which raises questions on the company’s solvency and ongoing financial viability.
• Limited Financial Disclosure: As a micro-entity, the accounts are unaudited with limited financial detail, reducing transparency and making risk assessment more challenging.

3. Positive Indicators:

• Compliance with Filing Requirements: The company is up to date with statutory filings and accounts submission, indicating adherence to regulatory obligations.
• Stable Directorship and Control: Directors and Persons with Significant Control have been consistent since incorporation, which may suggest stable governance at the ownership and management level.
• Small Scale Operation: The micro-entity status and small employee base (average 2) imply a low-cost operational model, which could be scalable or adjusted to improve financial health.

4. Due Diligence Notes:

• Cash Flow Analysis: Investigate detailed cash flow statements or bank records to assess the company’s ability to meet short-term liabilities and operational expenses.
• Business Model and Revenue Streams: Obtain information on revenue generation, client base, and contract stability to evaluate operational sustainability given the negative equity.
• Directors’ Plans for Financial Recovery: Review any strategic plans or capital injection intentions by directors to address the growing net liabilities and restore solvency.
• Creditors’ Terms: Understand the nature and terms of current liabilities to evaluate pressure points and potential restructuring needs.
• Related Party Transactions: Given the directors are also PSCs residing at the same address, it is prudent to verify any related party transactions or loans that may affect financial position.