HAPPY CAMEL CAMPERVANS LTD

Executive Summary

Happy Camel Campervans Ltd is a micro-entity with significant financial distress, characterized by negative net assets and severe working capital deficits. While regulatory compliance is maintained and fixed assets have grown, the company's limited capitalization and liquidity challenges pose high risks to solvency and operational sustainability. Further detailed financial and operational due diligence is warranted to evaluate recovery prospects.

HAPPY CAMEL CAMPERVANS LTD - Analysis Report

Company Number: 13282089

Analysis Date: 2025-07-19 13:03 UTC

1. Risk Rating: HIGH
   The company exhibits significant solvency and liquidity risks, evidenced by persistent negative net assets and net current liabilities. The magnitude of these deficits relative to its minimal share capital and micro-entity scale indicates severe financial strain.

2. Key Concerns:

• Negative Net Assets and Shareholders' Funds: The company’s net assets deteriorated from -£5,927 in 2022 to -£22,037 in 2023, indicating accumulated losses exceeding the capital base, which threatens ongoing viability.
• Severe Working Capital Deficit: Current liabilities (£53,899) vastly exceed current assets (£86), resulting in a net current liability position of -£53,813, signaling acute liquidity constraints and potential inability to meet short-term obligations.
• Limited Capitalization and Scale: With only £2 in share capital and a single employee (the director), the company has minimal financial buffer and staffing resources, increasing operational vulnerability.

3. Positive Indicators:

• Compliance with Filing Requirements: The company is up to date with its accounts and confirmation statement filings, indicating regulatory compliance and governance discipline.
• Fixed Asset Growth: Fixed assets increased from £21,341 in 2022 to £34,477 in 2023, suggesting some investment in operational capacity or assets that could support future business activity.
• Active Status and No Liquidation: The company remains active and is not undergoing liquidation or administration, providing a foundation for potential turnaround.

4. Due Diligence Notes:

• Investigate the nature and terms of the current liabilities to assess immediate solvency risks and creditor exposure.
• Review cash flow statements and management accounts (if available) to understand operational cash generation and short-term liquidity management.
• Analyze the business model and strategy given the persistent losses and whether there is a credible plan for profitability and capital injection.
• Confirm any related party transactions or director loans that might impact financial stability.
• Explore the reasons behind the fixed asset increase and assess asset liquidity or impairment risks.