Company Number: 13350497

Analysis Date: 2025-07-29 19:37 UTC

1. Risk Rating: LOW
   Full Tone Audio Ltd presents a low risk profile based on its most recent accounts. The company shows positive net current assets and net assets, no overdue filings, and compliance with statutory requirements. The micro-entity size and limited scale of operations imply limited financial exposure.

2. Key Concerns:

• Limited scale and minimal share capital (£1) suggest a small financial buffer against unexpected costs or downturns.
• Fluctuations in net current assets from prior years could indicate variability in working capital management.
• The absence of a profit and loss account filing limits insight into the company’s operational profitability and cash flow generation.

3. Positive Indicators:

• The company’s net current assets improved significantly in the latest year (£597 vs. £154 previously), suggesting better short-term liquidity.
• No overdue accounts or confirmation statement filings demonstrate good compliance and governance practices.
• Single director and sole shareholder control may streamline decision-making and reduce governance complexity.
• The company’s net assets increased year-on-year, indicating growth in financial strength despite being a micro-entity.

4. Due Diligence Notes:

• Review detailed profit and loss or management accounts if available to assess operational profitability and cash flow trends.
• Investigate the nature of accruals and deferred income (£300 in 2024) to understand timing and impact on liquidity.
• Confirm the sustainability of current asset levels, especially cash or receivables, given the small absolute values.
• Assess any contingent liabilities or off-balance-sheet risks not disclosed in filleted accounts.
• Verify director’s background and any potential related party transactions given sole control by Mr. Fulton.