FINE PIT STOP CUSTOMS LTD

Executive Summary

FINE PIT STOP CUSTOMS LTD, a recently incorporated micro-entity in motor vehicle repair, currently reports negative net assets and a working capital deficit, signaling high solvency and liquidity risks. While statutory filings are up to date and governance appears sound, the company’s limited scale and financial position warrant close scrutiny of liabilities and cash flows to assess future viability.

FINE PIT STOP CUSTOMS LTD - Analysis Report

Company Number: 14863497

Analysis Date: 2025-07-20 17:38 UTC

1. Risk Rating: HIGH
   The company shows a net liabilities position of £420 at year end, indicating negative net assets. Current liabilities exceed current assets by £2,142, demonstrating a working capital deficit. This raises significant solvency and liquidity concerns for a micro-entity in its first financial year.

2. Key Concerns:

• Negative net assets (£420) and net current liabilities (£2,142) suggest the company is not currently solvent.
• Very low current assets (£103) compared to current liabilities (£2,245) indicates potential cash flow difficulties and inability to meet short-term obligations.
• The company is newly incorporated (May 2023) with only one employee and minimal fixed assets (£1,722), which may reflect limited operational scale and financial resilience.

3. Positive Indicators:

• No overdue filings for accounts or confirmation statements, reflecting compliance with statutory requirements to date.
• Sole director and 100% owner Kamran Ahmed appears actively engaged, with no negative director conduct records reported.
• Operating in a clear niche (motor vehicle maintenance and repair) which can be a stable sector if managed well.

4. Due Diligence Notes:

• Investigate the nature and timing of liabilities to clarify if these are trade creditors, loans, or other payables and their imminence.
• Review cash flow projections and funding plans given the working capital deficit to assess how the company intends to meet obligations going forward.
• Understand the business model and contracts or customer base to evaluate revenue generation prospects and operational sustainability.
• Confirm no undisclosed related party transactions or contingent liabilities which could exacerbate financial risk.