GSR TRADERS LTD

Executive Summary

GSR TRADERS LTD exhibits financial distress marked by negative net current assets and increasing liabilities against minimal assets, raising solvency and liquidity concerns. While regulatory compliance is maintained and ownership is consolidated, the lack of operational activity and worsening financial position highlight significant risk. Further investigation into the company’s liabilities, revenue streams, and support from its controlling shareholder is essential before making investment decisions.

GSR TRADERS LTD - Analysis Report

Company Number: 13300933

Analysis Date: 2025-07-29 14:13 UTC

1. Risk Rating: HIGH
   The company shows significant negative net current assets (£-605 in 2024) and net liabilities, indicating potential solvency issues. Despite being a micro-entity, the balance sheet deterioration over the years is concerning, compounded by minimal assets and no employees, suggesting limited operational activity or revenue generation.

2. Key Concerns:

• Negative net current assets and net liabilities worsening from £-256 in 2023 to £-605 in 2024, signaling an inability to meet short-term obligations.
• Minimal current assets (£6 in 2024) against current liabilities of £611, indicating liquidity stress and possible cash flow difficulties.
• No employees and no profitability data available, raising questions about the sustainability and operational viability of the business.

3. Positive Indicators:

• The company is active and has filed all statutory accounts and confirmation statements on time, demonstrating compliance with regulatory requirements.
• Share capital is minimal but consistent, and there is clear ownership structure with a major shareholder controlling 75-100% of shares, which might facilitate swift decision-making.
• The company is classified under management consultancy, a sector that can operate with low overheads, potentially mitigating some operational risks.

4. Due Diligence Notes:

• Investigate the nature of liabilities—whether they are trade creditors, tax liabilities, or related party loans—to assess the risk of enforcement or insolvency.
• Clarify revenue generation and cash flow status, given the absence of employees and low asset base; request management accounts or bank statements if possible.
• Confirm if there are any contingent liabilities or off-balance sheet obligations not reflected in the micro-entity accounts.
• Understand the relationship and impact of Gold Core Assets Ltd as a controlling entity and any financial support arrangements in place.