GRAEME FLAXEN LTD

Executive Summary

Graeme Flaxen Ltd demonstrates a recent financial recovery from prior years of negative net assets to a modestly positive net asset position as of August 2024. The company is compliant with filing requirements and operates in a niche funeral services sector with a small team. While the turnaround is encouraging, limited financial disclosures and operational scale advise a cautious approach pending further detailed due diligence on profitability and cash flow sustainability.

GRAEME FLAXEN LTD - Analysis Report

Company Number: 13554833

Analysis Date: 2025-07-20 14:50 UTC

1. Risk Rating: LOW

Justification: The company has improved from negative net current assets and shareholders’ funds in 2023 to a positive net current asset position of £13,925 and shareholders’ funds of the same amount in 2024. There are no overdue filings, and directors appear to be actively managing the company. The micro-entity status suggests limited operational scale but manageable regulatory burden.

2. Key Concerns:

• Historical negative net assets and shareholders’ funds in 2022 and 2023 indicate past solvency challenges that were only recently reversed.
• Very limited scale of operations with only one employee and modest current assets may constrain operational resilience.
• Absence of detailed profit and loss information or cash flow data limits insight into ongoing profitability and liquidity dynamics.

3. Positive Indicators:

• Positive turnaround reported in the 2024 financial year with net current assets and shareholders’ funds improving significantly.
• No overdue statutory filings or compliance issues noted, suggesting good governance and regulatory compliance.
• Stable director team with relevant occupational experience (funeral director and office manager) aligned with industry (funeral and related activities).

4. Due Diligence Notes:

• Investigate underlying reasons and sustainability of the financial turnaround from negative to positive net assets within one year.
• Review detailed cash flow and profit & loss statements (not provided) to assess ongoing operational profitability and liquidity.
• Confirm any contingent liabilities or off-balance sheet risks not evident from the micro-entity abbreviated accounts.
• Assess business model scalability given the micro company status and single employee.