HIGHLAND RURAL LIMITED

Executive Summary

HIGHLAND RURAL LIMITED exhibits a strong liquidity and solvency profile with steadily increasing net assets and no compliance issues. However, the notable rise in other creditors and recent director resignations warrant further examination to fully assess operational stability. Overall, the company presents a low risk for investors based on available financial and regulatory data.

HIGHLAND RURAL LIMITED - Analysis Report

Company Number: SC668160

Analysis Date: 2025-07-29 18:51 UTC

1. Risk Rating: LOW
   The company demonstrates solid net asset growth, positive working capital, and no overdue filings, indicating low financial risk and reliable compliance.

2. Key Concerns:

• Significant increase in "Other creditors" from £7,028 to £68,411 within one year warrants enquiry to understand if this reflects delayed payments or unusual obligations.
• Two directors resigned shortly before the report date (February 2025), which could suggest changes in governance or strategic direction needing clarification.
• The company's small scale and limited fixed assets may constrain operational capacity or scalability within its consultancy sector.

3. Positive Indicators:

• Consistent growth in net assets from £979 in 2020 to £245,261 in 2024 shows strengthening equity and financial stability.
• Strong liquidity position evidenced by cash holdings increasing to £203,795 and current assets comfortably exceeding current liabilities (net current assets approx. £239k).
• Up-to-date statutory filings with no overdue accounts or confirmation statements, indicating good regulatory compliance.
• Ownership and control shared between two active PSCs, providing clear accountability.

4. Due Diligence Notes:

• Investigate the nature and terms of the increased "Other creditors" balance to assess any liquidity or solvency risks.
• Understand reasons for director resignations in 2025 and any impact on company strategy or operations.
• Review client concentration and contract pipeline given the management consultancy SIC code to assess operational sustainability.
• Confirm the accuracy of reported turnover and profitability metrics (not provided here) to ensure ongoing viability.
• Verify pension obligations and any contingent liabilities not apparent in the accounts.