Company Number: 13115537

Analysis Date: 2025-07-20 12:15 UTC

1. Risk Rating: HIGH
   The company exhibits significant solvency and liquidity risks, as evidenced by persistent negative net current assets and shareholders' funds over the last two reporting years.

2. Key Concerns:

• Negative Working Capital: Net current liabilities of approximately £6,349 as of January 2024 indicate the company does not have sufficient liquid assets to cover short-term obligations.
• Consistent Shareholders’ Deficit: Shareholders’ funds show a negative balance of £6,350, deteriorated from £3,213 the prior year, implying accumulated losses or ongoing operational deficits.
• Minimal Asset Base and Cash Reserves: Current assets are limited to £921 with cash at £920, which is insufficient relative to creditors of £7,270, raising concerns about near-term liquidity and ability to meet liabilities.

3. Positive Indicators:

• Compliance with Filing Requirements: The company is up to date with both accounts and confirmation statement filings, indicating regulatory compliance.
• Single Director with Full Control: The director has been in place since incorporation, which can suggest stable governance, although no other governance roles are reported.
• No Indication of Insolvency Proceedings: The company remains active and is not in liquidation, administration, or receivership as of the latest data.

4. Due Diligence Notes:

• Review the company’s cash flow statements and profit and loss accounts (not filed publicly as exempt) to assess operational cash generation and losses.
• Investigate the nature of the creditors amounting to £7,270, including payment terms and any overdue liabilities, to understand immediate financial pressures.
• Clarify the company’s business model and revenue streams in the IT consultancy sector and assess prospects for financial turnaround.
• Confirm whether any director or related party loans exist, given the minimal share capital and negative equity.
• Consider the impact of the company’s small size and exemption from audit on the reliability and completeness of financial disclosures.