Company Number: SC772693

Analysis Date: 2025-07-29 16:03 UTC

1. Risk Rating: LOW

Justification: HATTIE'S AUTOS LTD is a newly incorporated private limited company (June 2023) operating in the motor vehicle maintenance and repair sector (SIC 45200). The latest micro-entity accounts (year ended 30 June 2024) show positive net current assets (£31,591), positive net assets (£10,364), and no overdue filings. The sole director and majority shareholder, Mr Paul Hattie, has full control with no adverse governance issues reported. Overall, the company appears solvent and compliant with statutory filing requirements.

2. Key Concerns:

• Reliance on a single director/shareholder: Concentration of control with Mr Paul Hattie may pose governance risks or operational continuity concerns if unforeseen events occur.
• Limited financial history: As a start-up with only one year of accounts, there is limited financial track record to assess operational performance and cash flow sustainability.
• Current liabilities include significant long-term creditors (£25,264), which may impact cash flow management depending on repayment terms and business cash generation.

3. Positive Indicators:

• Positive net current assets and net assets indicate the company currently holds more liquid assets than short-term liabilities, suggesting good short-term solvency.
• No overdue statutory filings or compliance issues noted, indicating good governance and regulatory adherence.
• Micro-entity status reduces administrative burden and compliance costs, appropriate for the company scale.
• Operating in an established sector with demand for maintenance and repair services, supported by an active company website and multiple contact points.

4. Due Diligence Notes:

• Review detailed terms and repayment schedule of long-term creditors to assess potential liquidity constraints.
• Monitor future financial statements for revenue growth, profitability, and working capital trends as the business matures.
• Validate the operational structure and contingency plans given reliance on a single individual for management and control.
• Confirm insurance coverages, licenses, and any sector-specific regulatory compliance relevant to automotive repair.