Company Number: 13743942

Analysis Date: 2025-07-20 19:15 UTC

1. Risk Rating: LOW
   GCLO STUDIOS LIMITED shows a solid net asset position with positive net current assets and no overdue filings. The company is small, active, and appears compliant, with a single director who also owns 75-100% shares, indicating clear control and responsibility. Financially, the company has improved net assets from £9,469 in 2022 to £15,455 in 2023, suggesting growth and stability.

2. Key Concerns:

• Limited scale and single-employee operation may restrict operational resilience and ability to absorb shocks.
• Relatively low fixed assets (£594) and reliance on current assets (cash and stock) could pose risks if stock liquidity worsens.
• No audit conducted (exempt under small companies regime) limits external financial scrutiny.

3. Positive Indicators:

• Positive net current assets (£14,861) and net assets (£15,455) improving year-on-year suggest good working capital management and retained earnings growth.
• Up-to-date statutory filings (accounts and confirmation statement) indicate good governance and regulatory compliance.
• Strong shareholder control and director involvement likely enhance decision-making speed and accountability.

4. Due Diligence Notes:

• Review profitability trends and cash flow statements (not provided) to confirm operational cash generation and sustainability.
• Investigate stock composition and turnover rates to assess liquidity risk related to inventory.
• Confirm no director disqualifications or adverse conduct records for the sole director.
• Verify any contingent liabilities or off-balance sheet risks not captured in the primary financials.