Company Number: 13120036

Analysis Date: 2025-07-19 12:23 UTC

1. Risk Rating: LOW
   The company demonstrates a stable financial position with positive net assets and net current assets. There are no overdue filings or indications of regulatory non-compliance. The business has modest fixed assets and adequate liquidity in cash reserves relative to current liabilities.

2. Key Concerns:

• Reliance on a small shareholder base with two directors who are also farmers, which may indicate limited management diversity and potential operational concentration risk.
• Relatively low share capital (£2), which may limit capital flexibility or external investment appeal.
• The company has reported minimal debtors and a significant proportion of current liabilities classified as other creditors without further detail, warranting scrutiny of creditor composition and payment terms.

3. Positive Indicators:

• Consistent net asset growth from £10,234 in 2021 to £36,724 in 2024 indicates retained earnings accumulation and business growth.
• Healthy cash balances (£61,324 in 2024) exceed current liabilities (£42,763), suggesting strong liquidity and ability to meet short-term obligations.
• Timely filing of accounts and confirmation statements with no overdue reports reflects good regulatory compliance and governance discipline.
• The company operates in sheep and goat raising (SIC 1450), a niche agricultural sector which may provide steady demand and operational stability.

4. Due Diligence Notes:

• Verify the nature and aging profile of "other creditors" (£41,639) to assess any potential liquidity or payment risk.
• Review the business plan and operational risks given the small employee count (2) and reliance on director involvement for farming activities.
• Confirm the related party transactions or loans, if any, as the directors are also farmers and may have interlinked interests.
• Evaluate revenue trends and profitability as turnover and profit & loss details are not disclosed in the summary, limiting assessment of operational performance.
• Investigate whether any contingent liabilities or off-balance sheet obligations exist given the limited disclosures.