FIVE DESIGN AND BUILD LTD

Executive Summary

FIVE DESIGN AND BUILD LTD is a micro-entity newly established in 2023 with a solid short-term liquidity position and no regulatory filing issues. However, its limited operating history and concentration of control in a single director warrant cautious monitoring. Further review of operational cash flows and management credentials is advised to ensure ongoing financial and operational stability.

FIVE DESIGN AND BUILD LTD - Analysis Report

Company Number: 14863854

Analysis Date: 2025-07-20 17:37 UTC

1. Risk Rating: LOW
   The company is newly incorporated, small in scale, with a positive net asset position and no overdue filings. The financial snapshot shows net current assets exceeding current liabilities, indicating the company can meet short-term obligations.

2. Key Concerns:

• Limited Operating History: Incorporated in May 2023, the company has less than two years of operational data, limiting trend analysis and forecasting reliability.
• Scale and Asset Base: As a micro-entity with no fixed assets, the business might have limited capital resources and could be vulnerable to unexpected operational disruptions.
• Director Concentration Risk: Single director and 100% owner control concentrate decision-making and governance risk in one individual, which may impact oversight.

3. Positive Indicators:

• Strong Liquidity Position: Current assets of £35,928 exceed current liabilities of £13,031, producing net current assets of £22,897, supportive of short-term solvency.
• Compliance: No overdue accounts or confirmation statement filings, indicating good adherence to regulatory requirements to date.
• Clear Ownership and Management: The sole director and controlling shareholder are identified, simplifying accountability structures.

4. Due Diligence Notes:

• Review detailed cash flow statements and bank reconciliations to confirm liquidity beyond balance sheet snapshots.
• Assess contracts or order book to evaluate revenue visibility and operational sustainability given the company's recent formation.
• Investigate any related party transactions or off-balance-sheet liabilities due to sole ownership and director control.
• Verify the background and experience of the director in construction project development to assess capability and risk.
• Confirm insurance coverage, bonding, and compliance with construction industry regulations.