Company Number: 15719519

Analysis Date: 2025-07-29 15:52 UTC

1. Risk Rating: HIGH
   Firs Brighton Ltd exhibits a high risk profile primarily due to its negative net assets position and significant net current liabilities, indicating potential solvency and liquidity issues shortly after incorporation.

2. Key Concerns:

• Negative Net Assets: The company reported net liabilities of £26,518 as of 31 May 2025, which signals that total liabilities exceed total assets, raising solvency concerns.
• Poor Working Capital Position: Current liabilities (£73,506) substantially exceed current assets (£9,359), resulting in a net current liability of £64,147. This suggests the company may struggle to meet short-term obligations.
• Early Stage Financial Instability: Incorporated in May 2024, the company’s first financial period already reflects financial distress. With only one employee and minimal fixed assets, operational sustainability is uncertain without additional capital or revenue.

3. Positive Indicators:

• Compliance with Filing Requirements: The company’s accounts and confirmation statement are up to date and not overdue, indicating adherence to regulatory obligations.
• Clear Ownership and Management: The sole director and 75-100% shareholder, Ms. Fiona Mclarty, is clearly identified, which reduces governance ambiguity.
• Micro-Entity Status: The company benefits from simplified reporting requirements that can reduce administrative burden during early development stages.

4. Due Diligence Notes:

• Investigate the nature and reason for the high current liabilities relative to assets, including timing, creditor identities, and whether these are trade payables, loans, or other obligations.
• Assess the company’s business plan, revenue generation prospects, and capital injection plans to understand how it intends to resolve its negative equity position.
• Review cash flow projections and any agreements with creditors to determine liquidity risks and potential for financial distress or insolvency proceedings.
• Confirm no regulatory or director conduct issues exist beyond the available data, especially given the early loss position.