Company Number: 13910931

Analysis Date: 2025-07-20 13:41 UTC

1. Risk Rating: LOW
   The company shows positive net current assets and shareholders' funds with no overdue filings. Its micro-entity status reflects a small operational scale, but current financials indicate solvency and compliance.

2. Key Concerns:

• Limited scale of operations: The company is micro-sized with minimal assets and only one employee on average, which may constrain operational capacity and growth.
• Low historical cash levels: Cash was negligible at prior year-end (2023), suggesting tight liquidity in earlier stages; although improved in 2024, ongoing monitoring is needed.
• Director turnover: One director resigned early in 2023; while not necessarily a red flag, changes in leadership in a small company merit attention regarding continuity and governance.

3. Positive Indicators:

• Strong net current assets position (£21,347) as of 2024 year-end, indicating ability to meet short-term obligations.
• No overdue statutory filings (accounts and confirmation statements) demonstrating good compliance with regulatory deadlines.
• Shareholders’ funds have increased substantially from £2 at incorporation to over £21k, suggesting capital injections or retained earnings improving financial base.

4. Due Diligence Notes:

• Review the nature and source of current assets (£30,026) to confirm liquidity and absence of related party loans or non-cash items.
• Investigate the business plan and revenue streams supporting the improved financial position, given the small employee count and recent incorporation.
• Clarify the reasons and impact of director resignation and assess the governance framework to ensure operational stability.