Company Number: 12712097

Analysis Date: 2025-07-29 12:42 UTC

1. Risk Rating: HIGH
   The company exhibits significant solvency and liquidity concerns as demonstrated by consistently negative net current assets and net liabilities over recent financial years. Shareholders’ funds are negative in the latest accounts, indicating an erosion of equity and potential insolvency risk.

2. Key Concerns:

• Persistent negative net current assets (working capital deficits) indicating ongoing liquidity shortfalls to meet short-term obligations (e.g., £-5,866 in 2024).
• Negative net assets and shareholders’ funds (£-2,866 in 2024), showing that liabilities exceed assets, which is a critical solvency red flag.
• Minimal cash reserves (£151 in 2024) relative to current liabilities (£6,017), suggesting cash flow constraints that may impair operational sustainability.

3. Positive Indicators:

• The company remains active and compliant with statutory filing requirements, with no overdue accounts or confirmation statements, indicating good regulatory compliance.
• Ownership and control are concentrated with a single known person (Mr Ali Sasmaz), which may facilitate decisive management actions.
• The company has tangible fixed assets (£3,000 in 2024), albeit reduced from prior years, which could provide some collateral value.

4. Due Diligence Notes:

• Investigate the nature and causes of the continuing losses and negative equity, including underlying business model viability and revenue generation capacity.
• Review cash flow forecasts and creditor arrangements to assess immediate liquidity risks and potential for restructuring.
• Assess any contingent liabilities or off-balance sheet risks not reflected in the accounts.
• Consider the impact of the company’s small size and exemption from audit on the reliability of financial information.
• Evaluate the directors’ plans for remedying the financial position and sustaining operations.