Company Number: 13911064

Analysis Date: 2025-07-20 16:57 UTC

1. Risk Rating: HIGH
   The company shows a negative net asset position (£-41,538) and net current liabilities (£-3,318), with significant long-term creditors (£1,587,781) exceeding total assets less current liabilities (£1,549,403). This indicates solvency concerns and potential difficulty meeting obligations.

2. Key Concerns:

• Solvency Risk: Negative shareholders' funds and net assets suggest the company is technically insolvent under accounting definitions.
• Liquidity Pressure: Current liabilities almost equal current assets, resulting in slightly negative net current assets, which may indicate cash flow constraints in the short term.
• High Long-Term Debt: Creditors due after more than one year exceed total assets less current liabilities, raising concerns about the company’s ability to service debt over time.

3. Positive Indicators:

• No Overdue Filings: Both accounts and confirmation statements are up to date, indicating regulatory compliance and governance discipline.
• Single Director and PSC Alignment: The sole director and 100% controlling shareholder being the same person may simplify decision-making and oversight.
• Micro Entity Status: Small scale operations reduce complexity and may allow for more agile management adjustments.

4. Due Diligence Notes:

• Investigate the nature and terms of the long-term creditors (£1.59M), including repayment schedules and any secured lending arrangements.
• Review underlying cash flow statements and forecasts to assess liquidity beyond the balance sheet snapshot.
• Clarify business model viability given the negative equity position and whether additional capital injections are planned or feasible.
• Confirm no director disqualifications or compliance issues beyond filings to ensure governance integrity.