Company Number: 13854435

Analysis Date: 2025-07-29 14:06 UTC

1. Risk Rating: LOW
   Felix Roofing Ltd exhibits a solid balance sheet with positive net current assets and net assets, no overdue filings, and no indications of financial distress or governance issues. The company is relatively new but demonstrates growth and sound financial management within a micro-entity framework.

2. Key Concerns:

• Limited Operating History: Incorporated in early 2022, the company has only two years of financial data, which restricts the ability to assess long-term operational stability.
• Small Scale Operations: As a micro-entity with only two employees, Felix Roofing Ltd may face scalability challenges or vulnerability to operational disruptions.
• Single Director and PSC Concentration: Mr. Tyson Kai Felix holds full ownership and control, concentrating decision-making risk and potentially impacting governance robustness.

3. Positive Indicators:

• Strong Liquidity Position: Current assets (£57,321) significantly exceed current liabilities (£19,117), resulting in healthy net current assets (£38,204) as of the latest accounts.
• Positive Net Assets and Equity Growth: Net assets increased from £21,406 in 2023 to £38,461 in 2024, reflecting retained earnings or capital injections supporting solvency.
• Compliance and Timeliness: No overdue accounts or confirmation statements, indicating disciplined regulatory compliance.
• No Long-Term Debt: Absence of creditors falling due after more than one year as of 2024 suggests a conservative financial structure with limited leverage.

4. Due Diligence Notes:

• Confirm the nature and sustainability of revenue streams given the roofing industry’s typical seasonality and market conditions.
• Review detailed profit and loss figures (not provided) to assess profitability trends and cash flow consistency.
• Evaluate contractual arrangements and client concentration to understand operational risk exposure.
• Assess any contingent liabilities or off-balance-sheet obligations that might impact solvency.
• Investigate the governance framework and potential succession planning given sole directorship and ownership.