GUERIN CONSULTING SERVICES LTD

Executive Summary

The company shows increasing net assets and regulatory compliance, indicating some financial stability. However, significant reliance on director loans and minimal staffing raise moderate concerns about liquidity and operational sustainability. Further scrutiny of cash flows and business operations is recommended to clarify risk exposure.

GUERIN CONSULTING SERVICES LTD - Analysis Report

Company Number: 12749557

Analysis Date: 2025-07-29 17:26 UTC

1. Risk Rating: MEDIUM
   The company demonstrates positive net asset growth and no overdue filings, indicating operational compliance and some financial stability. However, reliance on director loans and minimal staffing present concerns regarding liquidity and operational sustainability.

2. Key Concerns:

• Director loans: The director owed substantial amounts (£35,282 at year-end 2024, previously £40,902) repaid shortly after year-end, indicating potential liquidity reliance on personal funds rather than stable cash flow.
• Minimal workforce: The company operates with only one employee (the director), which may limit operational capacity and scalability, raising questions about long-term sustainability.
• Small scale and micro-entity reporting: Limited financial disclosure under micro-entity provisions reduces transparency for assessing detailed financial health and risk factors.

3. Positive Indicators:

• Net assets increased from £44,609 in 2023 to £58,785 in 2024, showing growth in equity and potentially retained earnings.
• No overdue statutory filings for accounts or confirmation statements, reflecting compliance with regulatory requirements.
• The company is active and appears to have a stable registered office and director control structure, with clear ownership and absence of governance issues.

4. Due Diligence Notes:

• Review detailed cash flow statements and creditor aging to assess liquidity beyond director loans, which are currently the primary short-term funding source.
• Investigate revenue streams and client base to evaluate operational sustainability given minimal staffing.
• Confirm the nature and timing of director loan repayments and any related-party transactions to understand financial dependencies.
• Assess potential risks related to concentration of control as a single director and sole shareholder.
• Request more comprehensive financial disclosures if available, to better understand profitability and working capital management.