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.