Company Number: 12738834

Analysis Date: 2025-07-20 19:03 UTC

1. Risk Rating: LOW
   The company demonstrates positive net assets and net current assets as of the latest financial year, with no overdue filings and ongoing active status. The modest scale and steady employee count, coupled with compliance in filing deadlines, support a low risk rating.

2. Key Concerns:

• Small Share Capital and Equity Base: The company has a minimal share capital (£100) and equity (£2,424), which constrains financial resilience and ability to absorb losses or fund expansion.
• Reduction in Fixed Assets: Fixed assets dropped from £7,200 in 2023 to zero in 2024, warranting inquiry into asset disposals or impairments that could affect operational capacity.
• Limited Financial Disclosure: Accounts are unaudited abridged statements, limiting insight into profitability, cash flows, and contingent liabilities which restrains a fuller risk assessment.

3. Positive Indicators:

• Solvent Position: Positive net current assets (£2,424) and net assets indicate the company can meet short-term liabilities and maintain solvency.
• No Overdue Filings: Both accounts and confirmation statements are filed on time, showing good regulatory compliance and governance discipline.
• Consistent Workforce: The number of employees remained stable at seven, suggesting operational continuity.

4. Due Diligence Notes:

• Review details surrounding the disposal or write-off of fixed assets between 2023 and 2024 to assess impact on business operations.
• Obtain or request management accounts or cash flow statements for a clearer picture of liquidity and operational cash generation.
• Validate the nature and terms of current liabilities to determine any potential short-term repayment pressures.
• Confirm the director’s background and reputation; while no disqualifications are indicated, the director’s occupation and control position merit routine checks.