Company Number: 13173435

Analysis Date: 2025-07-19 12:53 UTC

1. Risk Rating: HIGH
   The company exhibits significant solvency and liquidity issues as evidenced by negative net current assets and shareholders' funds as of the latest financial year. The deterioration from positive net assets in prior years to a substantial deficit in the most recent year raises material concerns about its ability to meet obligations.

2. Key Concerns:

• Negative Net Assets: The company moved from positive net assets of £161 in 2023 to a deficit of £6,931 in 2024, indicating erosion of capital and potential insolvency risk.
• Liquidity Deficit: Current liabilities (£7,075) far exceed current assets (£80) with a large negative working capital position (-£6,931), suggesting cash flow constraints and inability to settle short-term debts as they fall due.
• Sole Director and Shareholder Control: Mr. Joshua Harrison holds 75-100% ownership and voting rights, concentrating control and potentially limiting independent oversight or governance checks.

3. Positive Indicators:

• Compliance with Filings: The company is current on its accounts and confirmation statement filings, indicating regulatory compliance and good governance in terms of statutory obligations.
• Established Director: The sole director has been in position since incorporation, providing continuity of management.
• Micro Entity Status: As a micro entity, the company has simplified reporting requirements which reduce administrative burden.

4. Due Diligence Notes:

• Investigate underlying causes for the sharp decline in net assets and liquidity, including review of profit and loss accounts (not filed publicly), creditor terms, and any contingent liabilities.
• Confirm whether the company has ongoing operational activity or if the financial distress is due to cessation or scaling down of business.
• Review any related party transactions or director loans that might impact financial position.
• Assess the business plan or forecasts to understand prospects for recovery or need for additional capital injection.
• Verify if there are any pending legal actions, enforcement notices, or insolvency proceedings not yet reflected in filings.