Company Number: 14535443

Analysis Date: 2025-07-29 14:03 UTC

1. Risk Rating: MEDIUM
   FOCUS NPD LTD is an active private limited company classified as a micro-entity with very modest net assets (£750) and net current assets of negative £516, indicating a tight working capital position. The company is very young (incorporated Dec 2022) with limited financial history, which increases uncertainty. However, filings are up to date and no overdue returns or accounts exist, suggesting compliance diligence.

2. Key Concerns:

• Liquidity Position: Current liabilities (£31,087) slightly exceed current assets (£30,571), resulting in negative net current assets (-£516). This could raise short-term liquidity concerns if cash inflows are insufficient.
• Very Low Net Asset Base: Total net assets of only £750 limits the company’s buffer to absorb losses or finance growth, raising solvency risk if liabilities increase.
• Director Changes: One of three original directors resigned in May 2025, reducing management stability. While not necessarily a red flag, turnover in leadership should be monitored.

3. Positive Indicators:

• Timely Filing and Compliance: No overdue accounts or confirmation statements, demonstrating good regulatory compliance and governance discipline.
• Small Employee Base: Average of 3 employees suggests a lean operation likely keeping fixed costs low, which may help conserve cash.
• Diversified Control: Share ownership and voting rights are split fairly evenly among three directors, which could support balanced decision-making.

4. Due Diligence Notes:

• Request latest management accounts or cash flow projections to assess ongoing liquidity beyond the year-end snapshot.
• Clarify the reasons and impact of the director resignation in 2025 and any replacement plans.
• Understand the business model and revenue streams given SIC codes (engineering activities and management consultancy) to evaluate sustainability and growth prospects.
• Confirm absence of related party loans or contingent liabilities not disclosed in micro-entity filings.