Company Number: SC686583

Analysis Date: 2025-07-29 20:06 UTC

1. Risk Rating: MEDIUM
   The company shows positive net asset balances and is current with filings, but there are notable concerns regarding significant current liabilities and limited scale which could impact operational resilience.

2. Key Concerns:

• High Current Liabilities: The latest accounts show current liabilities of £50,988 against current assets of £51,190, leaving a very narrow margin for working capital, which could constrain liquidity if unexpected expenses arise.
• Significant Long-Term Creditors: Creditors falling due after more than one year increased markedly to £50,988 (2024) from £26,955 (2023), indicating rising long-term obligations that may pressure solvency if not managed prudently.
• Concentration of Control: One individual (Mr Derek George Crawford) holds 75-100% of shares and voting rights, which concentrates governance and financial risk; this may impact strategic diversity and risk management.

3. Positive Indicators:

• Positive Net Assets: The company maintains net assets of £36,471 as of January 2024, indicating that total assets exceed liabilities.
• Timely Compliance: All statutory filings including accounts and confirmation statements are up to date with no overdue status, supporting regulatory compliance and good governance.
• Stable Fixed Assets and Continuity: Fixed assets have remained stable around £4,000+, and the company has been active since 2021, suggesting operational continuity in a niche sector (other human health activities).

4. Due Diligence Notes:

• Investigate the nature and terms of the long-term creditors to assess repayment schedules and potential refinancing risks.
• Review cash flow statements (not provided) to evaluate the company’s ability to meet short-term obligations as net current assets are marginal.
• Understand business model sustainability given the micro-entity scale, especially given the limited number of employees (average 1) and reliance on director-led operations.
• Verify any related party transactions or director loans given the concentrated ownership and control structure.