GURAM DEVELOPMENTS LIMITED

Executive Summary

Guram Developments Limited presents a high-risk profile due to persistent net current liabilities and negative net assets, indicating solvency and liquidity concerns. While the company maintains good compliance with filing requirements, operational sustainability appears weak given minimal current assets and no employees. Further due diligence is recommended to understand asset realizability, liability composition, and business viability.

GURAM DEVELOPMENTS LIMITED - Analysis Report

Company Number: NI670932

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

1. Risk Rating: HIGH
   The company shows persistent net current liabilities equal to the value of fixed assets, resulting in a negative net asset position and negative shareholders’ funds. This indicates solvency concerns and an inability to cover short-term obligations with current assets.

2. Key Concerns:

• Solvency Risk: The company’s net liabilities (-£380) and zero working capital (net current liabilities of -£129,900 against fixed assets of £130,000) suggest it is barely solvent and may struggle to meet financial obligations as they fall due.
• Liquidity Concerns: Current assets amount to only £100 against current liabilities of £130,000, signaling significant liquidity risk and potential cash flow constraints.
• Operational Stability: The company reports no employees and minimal activity reflected in micro-entity accounts, raising questions about ongoing trading operations and business sustainability.

3. Positive Indicators:

• Compliance: The company is current with its accounts and confirmation statement filings, with no overdue returns or accounts, indicating good regulatory compliance.
• Ownership and Governance Transparency: PSC information is clearly documented, showing control and voting rights transitions that appear legitimate.
• No Insolvency Proceedings: The company is active with no indication of liquidation, administration, or receivership.

4. Due Diligence Notes:

• Investigate the nature and recoverability of fixed assets (£130,000) to understand whether they are realizable or impaired.
• Clarify the composition and reason for the large current liabilities (£130,000) and assess any related party transactions or loans.
• Review cash flow statements and bank statements to confirm liquidity position and sources of working capital.
• Verify the operational status and plans for business growth or restructuring given the lack of employees and minimal current assets.
• Assess the impact of director changes in early 2024 and their plans for financial or operational turnaround.