Company Number: 14323793

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

1. Risk Rating: HIGH
   The company exhibits a significant deterioration in net current assets from a positive £149 in 2023 to a negative £744 in 2024. This indicates an inability to meet short-term liabilities with available current assets, raising substantial solvency and liquidity concerns for investors.

2. Key Concerns:

• Negative net current assets (£744 deficit) in the most recent financial year suggest cash flow difficulties and potential insolvency risk.
• Drastic reduction in current assets from £750 to £100 within one year without corresponding reduction in liabilities signals operational cash strain or poor working capital management.
• Limited scale as a micro-entity with only one employee and minimal asset base, which may impact operational sustainability and growth prospects.

3. Positive Indicators:

• The company is compliant with statutory filing deadlines; no overdue accounts or confirmation statements reported.
• Director appears engaged, having signed off on the accounts and acknowledged responsibilities, indicating governance adherence.
• Active status with recent incorporation (2022) suggests the company is still in early development phase and not yet dissolved or in liquidation.

4. Due Diligence Notes:

• Investigate reasons behind the sharp decline in current assets and increase in current liabilities over the last year—are these due to delayed payments, accruals, or increased borrowing?
• Review cash flow statements and bank reconciliations (not provided) to evaluate actual liquidity and operational cash availability.
• Assess the nature and terms of creditors due within one year to understand immediate financial obligations and any potential defaults.
• Confirm whether the company has any off-balance sheet liabilities or contingent risks not captured in the micro-entity accounts.
• Explore business model viability and pipeline of contracts given the limited operational scale and financial strain.