HHF UTILITIES LIMITED

Executive Summary

HHF Utilities Limited, a recently formed private limited company, demonstrates a solid liquidity position and compliance with filing requirements, reflecting low immediate financial risk. However, its limited operational history and sole director control warrant further due diligence to fully assess business sustainability and governance robustness.

HHF UTILITIES LIMITED - Analysis Report

Company Number: 14937746

Analysis Date: 2025-07-29 15:57 UTC

1. Risk Rating: LOW
   The company is newly incorporated with a clean filing record, positive net current assets, and no overdue statutory filings. The financial snapshot shows a healthy current asset position relative to current liabilities, indicating good short-term solvency.

2. Key Concerns:

• Limited operating history: Incorporated in mid-2023, the company has less than one full year of trading data, which limits trend analysis and assessment of operational sustainability.
• Small scale operations: Only one employee and minimal share capital may imply limited operational capacity and resilience to financial shocks.
• Concentration of control: The sole director and 75-100% shareholder control may pose governance risks and reduces oversight, potentially impacting strategic decision-making and risk management.

3. Positive Indicators:

• Strong liquidity position: Cash balance (£24,925) exceeds current liabilities (£5,525) by a comfortable margin, yielding net current assets of £19,400.
• Compliance: All statutory accounts and confirmation statement filings are up to date with no overdue notices or penalties.
• Clean financial position: Shareholders’ funds of £19,400 with no reported borrowings or negative reserves indicate a sound equity base.

4. Due Diligence Notes:

• Verify cash flow sources and sustainability given the early stage of the company and minimal employees.
• Review the nature and completeness of related party transactions, particularly director loans totaling £400, to assess potential financial dependencies.
• Assess business model viability and pipeline, especially within the SIC code 43999 (Other specialised construction activities) to understand market positioning and growth prospects.
• Confirm any contingent liabilities or off-balance sheet obligations not disclosed in the abbreviated accounts.