Company Number: 13989872

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

1. Risk Rating: HIGH
   The company shows significant negative net assets (£-9,175) and net current liabilities of the same amount as of the last financial year end (31 July 2024). The entire shortfall appears to be due to director loans (£9,275), indicating reliance on insider funding to meet liabilities. This raises concerns over solvency and financial stability.

2. Key Concerns:

• Negative net assets and working capital deficit: The company’s liabilities exceed its assets by over £9k, signaling potential insolvency risk.
• Reliance on director loans: The sole creditor is the director, exposing the company to liquidity risk if that funding is withdrawn or not extended.
• No turnover or operational activity reported: Debtors remain minimal (£100) with no indication of revenue generation or employees, raising questions about business sustainability.

3. Positive Indicators:

• No overdue filings: Both accounts and confirmation statements are filed on time, indicating compliance with statutory requirements.
• Recent incorporation (2022) and active status: The company is newly formed and currently active, which may indicate a startup phase or early development stage.
• Clear ownership and control: Ownership by Fai Group Holding Ltd and Mr. Jordan Jamal Alexander is transparent, with no apparent governance issues.

4. Due Diligence Notes:

• Investigate the nature and terms of director loans: Confirm whether these are repayable on demand or have been formally documented and whether they will continue to support liquidity.
• Assess business plan and revenue model: Given the absence of turnover and employees, understand the operational strategy and timeline for becoming financially viable.
• Review future funding sources and capital structure: Determine if there are plans for external financing or equity injection to improve solvency.
• Clarify the company’s activities under the SIC codes: Verify the scale and substance of property development and real estate activities reported.
• Examine any contingent liabilities or off-balance sheet obligations: To fully assess solvency risk.