GC NO.4 LIMITED

Executive Summary

GC No.4 Limited maintains regulatory compliance and stable governance but exhibits minimal net assets and tight working capital, indicating potential financial vulnerability. The company’s lack of employees and limited financial disclosures constrain evaluation of operational sustainability. Further due diligence on profitability, asset quality, and parent company support is recommended to clarify risk profile.

GC NO.4 LIMITED - Analysis Report

Company Number: 13095484

Analysis Date: 2025-07-20 13:50 UTC

1. Risk Rating: MEDIUM
   The company shows a minimal net asset base (£100) with current assets closely matching current liabilities, indicating very thin working capital. While there are no overdue filings and the company remains active with stable director appointments, the lack of profitability data and minimal equity raise concerns about financial resilience.

2. Key Concerns:

• Extremely Low Net Assets and Equity: Shareholders’ funds are only £100, unchanged over several years, suggesting the company is not generating retained earnings or growing its capital base.
• Working Capital Tightness: Current assets and liabilities are nearly equal each year, leaving little buffer for liquidity shocks or unexpected expenses.
• No Employees and Limited Financial Disclosure: Absence of employees and unaudited abridged accounts limit insight into operational capacity and profitability, raising questions about business sustainability.

3. Positive Indicators:

• Timely Filing and Compliance: The company is up to date with both accounts and confirmation statement filings, indicating good regulatory compliance.
• Stable Directorship: The same four directors have served continuously since incorporation, suggesting stable governance without turnover issues.
• Clear Ownership Structure: A single corporate entity holds 75-100% control, potentially streamlining decision-making and oversight.

4. Due Diligence Notes:

• Review underlying business activities and revenue generation to assess operational viability, given the minimal equity and no employees.
• Investigate stock valuation policies and the nature of current assets (£70k in stock/work in progress) to verify realizable value and potential liquidity.
• Obtain income statement and cash flow data (not included in abridged accounts) to evaluate profitability and cash generation capabilities.
• Confirm if any financial support or guarantees exist from the parent entity (Godwin Commercial Limited) given its controlling interest.
• Assess the reason for consistently minimal net assets and whether any contingent liabilities or off-balance-sheet risks exist.