Company Number: 14468761

Analysis Date: 2025-07-20 13:28 UTC

1. Risk Rating: HIGH
   FKB Consultancy Limited shows significant deterioration in its financial position over a short period, moving from positive net current assets of £1,289 at end of 2023 to negative net current assets of £577 at the end of 2024. The negative net assets and shareholders’ funds indicate potential solvency issues, raising concerns about the company’s ability to meet its liabilities as they fall due.

2. Key Concerns:

• Solvency Risk: The company’s net liabilities position at the latest year end suggests it may not be able to cover its debts with available assets, posing a risk of insolvency.
• Liquidity Constraints: Current liabilities exceed current assets by £577, implying potential cash flow difficulties in meeting short-term obligations.
• Operational Scale and Sustainability: With only one employee and minimal asset base, the company’s operational capacity appears very limited, raising questions about its ongoing viability and ability to generate sufficient revenue to recover financial health.

3. Positive Indicators:

• Compliance and Governance: The company is active, with up-to-date filings for accounts and confirmation statements, indicating good compliance with statutory requirements.
• Experienced Director: The sole director is a Chartered Accountant with full control of the company, which may bring professional financial oversight.
• No Indications of Legal or Regulatory Issues: No evidence of liquidation, administration, overdue filings, or director disqualifications was found.

4. Due Diligence Notes:

• Investigate the causes behind the sharp decline in net assets and current asset reduction between 2023 and 2024.
• Review cash flow statements and income generation capability to assess short-term liquidity management.
• Assess the business model and revenue streams to determine operational sustainability given the micro entity scale and limited resources.
• Confirm any contingent liabilities or off-balance-sheet exposures beyond those disclosed.
• Verify if director loans or related party transactions have impacted the financial position.