Company Number: 13982807

Analysis Date: 2025-07-20 11:44 UTC

1. Risk Rating: LOW
   The company demonstrates a solid net asset position relative to liabilities, with consistent positive net current assets and no overdue filings. The financials indicate sound solvency and liquidity for its size and age.

2. Key Concerns:

• Limited operational scale: The business has only one employee and minimal fixed assets, which may constrain growth and operational resilience.
• Declining current assets: Current assets decreased markedly from £112,974 (2023) to £85,021 (2024), which may merit scrutiny regarding cash flow trends.
• Single-person control: The director and sole shareholder holds 75-100% ownership and voting rights, concentrating governance risk.

3. Positive Indicators:

• Strong working capital: Net current assets remain stable around £77k, indicating the company can meet short-term obligations comfortably.
• Compliance: No overdue accounts or confirmation statements; filings are up to date reflecting good regulatory adherence.
• Positive net assets: Equity increased slightly from £77,177 to £78,853, indicating retained value creation.

4. Due Diligence Notes:

• Investigate reasons behind the reduction in current assets and creditors to understand cash flow dynamics and whether this reflects operational changes or creditor repayment.
• Review turnover and profitability data not provided here to assess operational sustainability given the micro entity status and limited staff.
• Confirm the director’s background and any potential conflicts of interest given sole control, including any related party transactions.
• Assess the market position and client base under SIC code 62020 (IT consultancy) to evaluate growth prospects and revenue stability.