GLU GLOBAL UK LTD

Executive Summary

GLU GLOBAL UK LTD is a start-up stage software company with reasonable short-term liquidity but a net liability position and significant long-term creditors. The company relies on director funding to continue operations, posing a medium solvency risk. Timely filings and positive net current assets are encouraging; however, further review of long-term obligations and cash flow sustainability is advised.

GLU GLOBAL UK LTD - Analysis Report

Company Number: 13617118

Analysis Date: 2025-07-20 13:48 UTC

1. Risk Rating: MEDIUM

Justification: GLU GLOBAL UK LTD is a relatively new private limited company incorporated in 2021, operating in software development. While it is currently active and up to date with filings, its financial position shows some concerns, particularly around net liabilities and shareholder deficit, though it has positive net current assets at the latest year end. The director has confirmed willingness to fund ongoing operations, supporting going concern assumptions, but the company’s solvency and liquidity require close monitoring.

2. Key Concerns:

• Negative Shareholders Funds: The company reported shareholders' funds of £-6,757 as at 31 March 2024, indicating accumulated losses and a net liability position, which could challenge long-term solvency.
• High Creditors Due After One Year: Non-current liabilities stand at £24,985 against total net assets of £68, suggesting significant long-term obligations that may strain financial stability.
• Dependency on Director Support: The directors’ statement highlights reliance on director funding for continuing as a going concern, which introduces risk if the director’s support were withdrawn.

3. Positive Indicators:

• Positive Net Current Assets: At £25,053 as of 31 March 2024, the company has sufficient working capital to cover short-term liabilities, indicating reasonable liquidity in the near term.
• Up-to-Date Filing Status: Accounts and confirmation statements are filed on time with no overdue filings, reducing regulatory risk.
• Low Share Capital and Small Size: The company’s micro/small categorization limits exposure and complexity, potentially facilitating nimble management and lower fixed costs.

4. Due Diligence Notes:

• Investigate the nature and terms of the long-term creditors (£24,985) to assess repayment schedules and potential financial pressure.
• Review cash flow forecasts and director funding commitments to evaluate sustainability of operations without additional capital injections.
• Examine detailed profit and loss accounts (not included in filings) for revenue trends, expense drivers, and potential for profitability improvements.
• Confirm no director disqualifications or governance issues through Companies House and Insolvency Service records.
• Clarify the relationship and transactions with related parties, given the related party creditor balances noted.