ESSEX SHOOTING SYNDICATES LTD

Executive Summary

Essex Shooting Syndicates Ltd is a very small private company exhibiting negative working capital but positive net asset growth, relying heavily on director loans for financing. While it remains compliant with filing obligations, limited financial detail and scale raise medium-level concerns about liquidity and operational sustainability. Further due diligence on cash flows, profitability, and business model is recommended to fully assess investment risk.

ESSEX SHOOTING SYNDICATES LTD - Analysis Report

Company Number: 13300645

Analysis Date: 2025-07-29 20:09 UTC

1. Risk Rating: MEDIUM
   The company shows ongoing negative net current assets (working capital deficits) and reliance on director’s loans, which raises concerns about liquidity and short-term solvency. However, it maintains positive net assets and is current with filings, indicating some operational continuity and compliance.

2. Key Concerns:

• Liquidity Risk: The company had net current liabilities of £11,263 as of 31 March 2024, a slight improvement from £19,918 in the prior year, but still negative, indicating potential cash flow difficulties meeting short-term obligations.
• Reliance on Director’s Loans: A significant portion (£10,662) of current liabilities are director’s loans, suggesting external financing dependency rather than operational cash generation.
• Limited Revenue Visibility and Scale: The accounts provide no turnover or profit and loss details, and the company reports only one employee (a director), pointing to a very small scale operation with limited financial data to assess operational sustainability.

3. Positive Indicators:

• Compliance with Filings: Both statutory accounts and confirmation statements are up to date and not overdue, indicating good regulatory compliance.
• Positive Net Assets: Despite current liabilities exceeding current assets, the company’s net assets have increased to £4,518, showing some growth in equity.
• Asset Base: The company holds tangible fixed assets valued at £15,781, which could provide some operational capacity or collateral value.

4. Due Diligence Notes:

• Cash Flow and Profitability: Obtain detailed profit and loss information, cash flow statements, and turnover figures to understand operational performance.
• Director’s Loan Terms: Review terms, repayment schedules, and any potential for conversion of director’s loans into equity or risk of calls for repayment.
• Business Model and Revenue Streams: Clarify the nature of activities under SIC codes 93199 (Other sports activities) and 46110 (Agents selling agricultural raw materials) to assess market position and sustainability.
• Debt Structure: Investigate any other off-balance-sheet liabilities or contingent liabilities not disclosed.
• Future Funding Plans: Assess plans for improving liquidity and reducing reliance on director loans.