Company Number: 15199329

Analysis Date: 2025-07-29 20:59 UTC

1. Risk Rating: HIGH
   The company shows significant net current liability exceeding £84,000 against minimal current assets, indicating a severe solvency risk. The negative shareholders’ funds position so early in the company’s life cycle intensifies concerns about its financial stability.

2. Key Concerns:

• Solvency Risk: Current liabilities of £88,173 vastly outweigh current assets of £3,376, resulting in net current liabilities of £84,797. This suggests the company may not be able to meet its short-term obligations as they fall due.
• Negative Equity: Shareholders’ funds are negative by £84,797, indicating accumulated losses or undercapitalisation which is critical for a company incorporated less than two years ago.
• Limited Operational Scale: Only one employee (the director) and micro-entity reporting with no profit and loss information disclosed limit the ability to assess operational viability or revenue generation.

3. Positive Indicators:

• Compliance with Filing Requirements: The company is up to date with both accounts and confirmation statement filings, demonstrating regulatory compliance and good governance in this respect.
• Clear Ownership and Control: The sole director and 75-100% shareholder, Mr. Jacob Robert Catling, provides clarity on control and accountability.
• Micro-entity Status: This reduces administrative burden and suggests a small-scale, potentially early-stage business.

4. Due Diligence Notes:

• Obtain detailed profit and loss statements and cash flow forecasts to understand income generation and liquidity management.
• Investigate the nature of the £88,000+ current liabilities (e.g., trade creditors, loans, director loans) and repayment terms.
• Assess plans for capital injection or debt restructuring to address negative equity and solvency concerns.
• Review business model and market strategy to determine operational sustainability given current financial deficits.
• Confirm absence of director disqualifications or regulatory issues beyond Companies House filings.