Company Number: 15322715

Analysis Date: 2025-07-29 16:05 UTC

1. Risk Rating: HIGH
   The company shows significant solvency concerns with net liabilities of £29,597 as of the latest accounts. Current liabilities substantially exceed current assets, and long-term creditors further increase financial strain.

2. Key Concerns:

• Negative Net Assets and Shareholders' Funds: The company’s net liabilities suggest it is insolvent on a balance sheet basis, raising doubts about its ability to meet obligations.
• High Long-Term Creditors (£123,527): The level of non-current liabilities is large relative to the asset base, indicating potential over-reliance on debt financing or delayed repayment schedules.
• Limited Operating History and Small Scale: Incorporated only in December 2023, with micro-entity accounts and minimal share capital (£102), the company has limited operational track record to demonstrate sustainability or cash flow generation.

3. Positive Indicators:

• No Overdue Filings or Compliance Issues: Accounts and confirmation statements are up to date, showing management attention to regulatory compliance.
• Directors Actively Involved and Shareholding Concentrated Among Directors: Two directors hold significant shareholding and voting control, which may support stronger governance and commitment.
• Micro-entity Reporting and Small Employee Base: Operating as a micro-entity with only two employees may allow for lean cost structure and flexibility during early growth.

4. Due Diligence Notes:

• Investigate the nature and terms of the £123,527 long-term creditors to understand repayment obligations and any related party transactions.
• Review the company’s cash flow forecasts and business plan to assess how it intends to resolve the negative equity and achieve operational stability.
• Obtain detailed profit and loss data to evaluate revenue generation, margins, and expense management, which are not disclosed in the micro-entity accounts.
• Confirm any contingent liabilities or off-balance-sheet commitments that may impact financial health.
• Assess the background and financial capacity of directors/shareholders to support the company if additional funding is required.