GARETH BARNES CARDIOLOGY LTD

Executive Summary

GARETH BARNES CARDIOLOGY LTD currently demonstrates financial distress with negative net assets and a working capital deficit, raising significant solvency and liquidity concerns. While compliance and governance appear in order, the company’s early stage and limited operational data warrant thorough due diligence on its business viability and cash flow prospects before investment consideration.

GARETH BARNES CARDIOLOGY LTD - Analysis Report

Company Number: 14718575

Analysis Date: 2025-07-29 18:01 UTC

1. Risk Rating: HIGH
   The company exhibits a negative net asset position with net liabilities of £743, indicating solvency concerns. Current liabilities exceed current assets by £1,529, reflecting a working capital deficit and potential liquidity risk. The company is in its first financial year with limited historical data and only one employee, which raises operational sustainability questions.

2. Key Concerns:

• Solvency Risk: Negative shareholders’ funds and net liabilities indicate the company’s obligations exceed its assets, increasing default risk.
• Liquidity Issues: Current liabilities surpass current assets, implying potential cash flow difficulties in meeting short-term obligations.
• Operational Stability: Being a micro-entity with just one employee and no profit and loss details disclosed limits assessment of revenue generation and business viability.

3. Positive Indicators:

• Compliance Status: All statutory filings, including accounts and confirmation statements, are up to date and not overdue.
• Clear Ownership and Control: Single director and sole shareholder with full control simplifies governance and decision-making processes.
• Relevant Industry Classification: Registered under specialist medical practice activities (SIC 86220), indicating a focused niche potentially supported by professional expertise.

4. Due Diligence Notes:

• Investigate the company’s business model, client base, and revenue streams to assess operational sustainability and forecasted cash flows.
• Review any off-balance sheet liabilities or contingent liabilities not reflected in the micro-entity accounts.
• Confirm whether the director’s professional activity as a cardiologist contributes directly to income and if there are any contracts or agreements supporting ongoing operations.
• Request management accounts or forecasts to better understand liquidity and solvency outlook beyond the first year-end.
• Verify absence of any director disqualifications or regulatory issues beyond Companies House public records.