GAGAOS SOLUTIONS LTD

Executive Summary

GAGAOS SOLUTIONS LTD is an active private limited company classified as a micro-entity with minimal turnover and net assets, indicating high liquidity and solvency risk. While regulatory compliance is up to date and governance is concentrated, significant concerns arise from its negligible revenue, limited working capital, and an unusual employee count relative to scale. Further due diligence on operational viability and financial reporting accuracy is recommended before considering investment.

GAGAOS SOLUTIONS LTD - Analysis Report

Company Number: 13586364

Analysis Date: 2025-07-29 18:18 UTC

1. Risk Rating: HIGH
   Justification: The company shows extremely limited revenue (£556) against significant staff costs (£485) with negligible net assets (£57). Current liabilities nearly equal current assets, leaving minimal working capital. The business has only been active for two full years with minimal operating scale, raising concerns about its ability to meet obligations and sustain operations.

2. Key Concerns:

• Liquidity Risk: Net current assets of only £57 suggest very tight liquidity with almost no buffer to cover short-term liabilities.
• Operational Viability: Turnover is negligible, indicating a very early-stage or inactive business model. The reported average employee count (27) appears inconsistent with the micro-entity size and revenue, potentially signaling reporting or operational issues.
• Financial Sustainability: The minimal profit (£58) on very low turnover points to a fragile financial position, vulnerable to any adverse event or unexpected costs.

3. Positive Indicators:

• Compliance: Accounts and confirmation statement filings are up to date, indicating regulatory adherence.
• Sole Control: The single director and 75-100% shareholder, Syed Riaz Shah, provides clear governance and decision-making responsibility.
• No Overdue Filings or Insolvency: The company is active, not in liquidation or administration, which suggests no immediate regulatory distress.

4. Due Diligence Notes:

• Verify the accuracy of the reported employee number (27) relative to the micro entity classification and turnover; this discrepancy needs clarification.
• Understand the nature of current liabilities and whether there are payment terms or related party balances that may affect liquidity.
• Investigate the business model and pipeline for revenue growth to assess prospects beyond the nominal current turnover.
• Confirm no undisclosed contingent liabilities or off-balance sheet obligations.
• Review director’s background and track record for business continuity and governance.