Company Number: 13885970

Analysis Date: 2025-07-29 17:41 UTC

1. Risk Rating: MEDIUM
   The company shows a deterioration in liquidity and working capital as evidenced by net current liabilities in the latest financial year. However, it remains a micro-entity with modest asset size and no overdue filings, which mitigates some concerns.

2. Key Concerns:

• Liquidity risk: The company’s net current assets turned negative from a positive £3,839 to a negative £9,735 in the latest year, indicating potential short-term cash flow pressures.
• Operational scale: With only one employee and micro-entity status, operational sustainability and growth prospects may be limited.
• Reliance on single director and shareholder: The sole director and 100% owner concentration might pose governance and continuity risks.

3. Positive Indicators:

• Compliance: No overdue accounts or confirmation statement filings, indicating good regulatory compliance to date.
• Equity growth: Shareholders' funds increased from £4,310 to £6,816, showing some retained value growth despite working capital challenges.
• Clear business focus: Operating under SIC 70210 (Public relations and communications activities) with a director specialized in medical communications suggests a defined niche.

4. Due Diligence Notes:

• Investigate causes of the working capital decline and whether this is a temporary timing issue or indicative of deeper cash flow problems.
• Review the company’s business model and revenue streams to assess operational viability given size and liquidity.
• Verify whether any contingent liabilities or off balance sheet risks could further impact solvency.
• Confirm the director’s plans for addressing current liabilities exceeding current assets and sustainability of funding sources.
• Assess related party transactions or financial support given the sole director-shareholder structure.