FENO SOLUTIONS LTD

Executive Summary

FENO SOLUTIONS LTD exhibits low solvency and liquidity risk supported by strong cash balances and growing net assets. While the company maintains good compliance and financial reporting standards, the absence of employees and emergence of provisions in 2023 require further inquiry to confirm operational sustainability and contingent liabilities. Overall, the company appears financially stable but warrants targeted due diligence on operational and contingent risk aspects.

FENO SOLUTIONS LTD - Analysis Report

Company Number: 13103395

Analysis Date: 2025-07-20 17:46 UTC

1. Risk Rating: LOW
   FENO SOLUTIONS LTD demonstrates a strong liquidity position with cash significantly exceeding current liabilities. The company is solvent, has no overdue filings, and shows consistent growth in net assets, indicating low financial risk.

2. Key Concerns:

• Reduction to zero employees in 2023 may indicate operational downsizing or reliance on external consultants, potentially impacting business sustainability.
• The company’s accounts are unaudited, which limits external validation of financials and may increase risk for investors seeking verified reporting.
• Provisions for liabilities appeared only in 2023, equal to current liabilities, suggesting possible new contingent obligations or accruals that warrant clarification.

3. Positive Indicators:

• Cash reserves increased substantially from £80k in 2022 to £137k in 2023, maintaining a strong liquidity buffer.
• Net assets more than doubled year-over-year, reflecting positive retained earnings and financial growth.
• No overdue statutory filings or compliance issues noted; the company remains active and in good standing.
• Single director with a professional background as a consultant, potentially indicating focused management.

4. Due Diligence Notes:

• Investigate the nature and reason for the £20,196 provisions recorded in 2023 and their impact on future cash flows.
• Confirm operational model given zero employees in 2023 and assess sustainability—are services outsourced or provided by the director?
• Request or review any internal management accounts or cash flow forecasts to verify ongoing liquidity beyond year-end balances.
• Assess the director’s background and capability to manage company growth given the small size and absence of additional personnel.
• Consider obtaining audited accounts or independent financial review for enhanced assurance.