Company Number: 13258694

Analysis Date: 2025-07-20 12:50 UTC

1. Risk Rating: LOW to MEDIUM
   The company shows positive net current assets and net assets, indicating solvency at the balance sheet date. However, the absolute values are small, and the company is in the micro category with limited financial scale, which inherently carries some operational risk.

2. Key Concerns:

• Low absolute asset base: Net current assets of £572 and net assets of £572 as of March 2024 are minimal, offering limited financial buffer.
• Small scale and limited financial data: Being a micro-entity with minimal share capital (£100) and only two employees limits operational capacity and resilience to shocks.
• Frequent director changes: Two directors appointed and resigned within a short period (2023–2025) could signal governance or management instability.

3. Positive Indicators:

• Positive net current assets: The company improved from negative net current assets in 2023 (-£352) to positive (£572) in 2024, suggesting improved liquidity management.
• Timely filings: No overdue accounts or confirmation statements, reflecting regulatory compliance and good administrative governance.
• Increasing employee count: Growth from one to two employees may indicate business expansion or increased operational activity.

4. Due Diligence Notes:

• Review detailed profit and loss data (not provided) to assess revenue trends, profitability, and cash flow sufficiency.
• Investigate reasons behind director turnover to understand potential governance or operational risks.
• Assess the nature and reliability of current assets, particularly cash versus receivables or stock, to evaluate liquidity quality.
• Confirm the company's business model stability given its retail via internet classification and market conditions.