Company Number: 13527241

Analysis Date: 2025-07-20 18:37 UTC

1. Risk Rating: HIGH
   The company displays significant solvency and liquidity risks, evidenced by persistent negative net assets and large current liabilities exceeding current assets by a substantial margin.

2. Key Concerns:

• Negative Net Assets: The company has reported net liabilities of £43,736 as of the latest financial year, worsening from prior years, which indicates erosion of shareholder equity and potential insolvency.
• Severe Working Capital Deficit: Current liabilities (£813,300) greatly exceed current assets (£45,756), resulting in a net current liability of £767,544, which raises serious questions about the company’s ability to meet short-term obligations.
• Lack of Profit and Cash Flow Disclosure: No profit and loss account is filed publicly, limiting insight into operational performance and cash flow generation, adding uncertainty about sustainability.

3. Positive Indicators:

• Stable Director and Ownership: The sole director and 100% owner appears consistent since incorporation, suggesting stable management control.
• Compliance with Filing Deadlines: Neither accounts nor confirmation statements are overdue, indicating regulatory compliance in reporting.
• Micro-entity Status: The company’s small size limits disclosure requirements, which may partly explain limited financial detail.

4. Due Diligence Notes:

• Investigate Operational Cash Flows: Obtain management accounts or cash flow statements to assess liquidity beyond balance sheet figures.
• Review Business Model Viability: Understand revenue streams, client base, and market position given the negative equity and high liabilities.
• Clarify Nature of Current Liabilities: Determine whether these are trade payables, loans, or other obligations and their maturity profiles.
• Assess Director’s Plans: Given the negative net assets, evaluate any planned capital injections or restructuring.
• Confirm Absence of Related Party Transactions or Contingent Liabilities: To identify off-balance sheet risks.