GRAYHAWK TRANSFORMATIONS LIMITED

Executive Summary

Grayhawk Transformations Limited currently exhibits low financial risk with strong liquidity and solvency metrics for a micro-entity, supported by timely statutory filings and positive net assets growth. However, limited operational data and sole director control highlight areas requiring further due diligence to fully assess business sustainability and governance robustness.

GRAYHAWK TRANSFORMATIONS LIMITED - Analysis Report

Company Number: 13970778

Analysis Date: 2025-07-29 18:00 UTC

1. Risk Rating: LOW
   Grayhawk Transformations Limited demonstrates strong liquidity and solvency indicators for a micro-entity, with net current assets significantly exceeding current liabilities and a positive net asset position. The absence of overdue filings and no evidence of director misconduct reduce regulatory and governance risks.

2. Key Concerns:

• Reliance on a sole director and 100% shareholder may pose governance risks and operational dependency.
• The company currently reports zero employees, suggesting reliance on subcontractors or external resources which could affect operational continuity.
• Limited disclosure of profit and loss figures or turnover data restricts comprehensive assessment of operational profitability and sustainability.

3. Positive Indicators:

• Consistently positive net current assets (£103k in 2024) and net assets (£102k in 2024) show good working capital management and solvency.
• Timely filing of accounts and confirmation statements reflects compliance with statutory requirements.
• The company has maintained or improved its net asset base from £63k in 2023 to £102k in 2024, indicating growth in equity.

4. Due Diligence Notes:

• Investigate underlying revenue streams, profitability, and cash flow dynamics since P&L data is not publicly filed due to micro-entity exemption.
• Review contracts and dependencies given the lack of employees, assessing sustainability of operations and potential risks from subcontractors or third parties.
• Confirm background and capacity of the sole director to manage and grow the business, including any potential related party transactions or conflicts of interest.
• Clarify the nature and timing of accruals and deferred income, particularly the significant reduction from £27,750 in 2023 to £1,500 in 2024, to assess revenue recognition and liability timing.