Company Number: 14085493

Analysis Date: 2025-07-29 19:00 UTC

1. Risk Rating: HIGH
   The company shows negative net current assets and net liabilities as of the latest accounts date, indicating solvency concerns. The absence of any fixed assets and minimal current assets relative to liabilities suggests financial fragility.

2. Key Concerns:

• Negative Working Capital: Current liabilities (£10,434) exceed current assets (£9,577), resulting in a net current liability of £857, which may impact the company’s ability to meet short-term obligations.
• Negative Net Assets and Shareholders' Funds: The company’s net assets and equity are negative (£-857), implying an erosion of capital and potential solvency risks.
• Limited Financial History and Scale: Incorporated in 2022 with micro-entity status and minimal financial data, making it difficult to assess operational sustainability or growth prospects.

3. Positive Indicators:

• Compliance with Filing Requirements: Accounts and confirmation statements are filed on time with no overdue notices, indicating regulatory compliance and good governance practices.
• Sole Director and PSC Alignment: The director and sole person with significant control (PSC) are the same individual, which may streamline decision-making and oversight.
• Small Employee Base: The company operates with only 2 employees, which may help control overhead costs in early stages of business.

4. Due Diligence Notes:

• Investigate the nature of the £10,434 current liabilities to understand short-term obligations and any potential creditor pressure.
• Review cash flow statements (if available) or bank statements to assess liquidity beyond the balance sheet snapshot.
• Explore the business model and revenue generation since inception to evaluate operational viability and prospects for improving financial stability.
• Confirm any off-balance sheet liabilities or contingent liabilities not disclosed in the accounts.
• Assess the director’s background and any related party transactions given the sole control and ownership structure.