Company Number: 14761460

Analysis Date: 2025-07-19 12:20 UTC

1. Risk Rating: HIGH
   Justification: The company is newly incorporated with minimal financial activity, a net loss in its first year, and zero assets or cash reported. The absence of working capital and operating losses indicate a high risk regarding solvency and liquidity.

2. Key Concerns:

• Negative Operating Result: The company reported a loss of £388 against very minimal turnover (£325), signaling challenges in generating sustainable revenue.
• No Current Assets or Cash: Zero reported cash and current assets raise significant liquidity concerns, suggesting the company may struggle to meet short-term obligations.
• Lack of Financial Reserves and Equity: Net assets and shareholders’ funds stand at zero, which means the company has no financial buffer to absorb losses.

3. Positive Indicators:

• Compliance with Filing Requirements: All statutory accounts and confirmation statements are filed on time, demonstrating good regulatory compliance.
• Clear Governance Structure: Two directors with shared control and no reported disqualifications or governance issues.
• Community Interest Company Status: The company’s social mission and community interest report indicate a purpose-driven business model that may attract grants or donations.

4. Due Diligence Notes:

• Investigate the company’s funding sources and commitments to understand how operational losses and lack of cash are being managed.
• Review any shareholder or director loans, grants, or external financing arrangements supporting the business.
• Assess the business plan and projected revenue streams to evaluate sustainability and growth prospects.
• Confirm whether there are any contingent liabilities or off-balance-sheet obligations not disclosed in the accounts.
• Clarify the operational model and how expenses are being funded given zero reported current liabilities.