Company Number: 13624224

Analysis Date: 2025-07-29 12:25 UTC

1. Risk Rating: LOW
   ILH CONSULTING LIMITED demonstrates a strong net asset position with a sizeable increase in net current assets and shareholders' funds over the most recent financial year. There are no overdue filings, liquidation status, or regulatory concerns evident.

2. Key Concerns:

• Limited Scale: As a micro-entity with only 2 employees and modest fixed assets, the company may face scalability and operational risk if market conditions deteriorate.
• Concentration Risk: No detailed revenue or client diversification data is available, which is typical for micro companies but poses potential risk.
• Dependency on Key Individuals: With a very small team, the company’s operational continuity may be vulnerable to absence or departure of key personnel.

3. Positive Indicators:

• Improved Liquidity and Solvency: Current assets increased from £34,007 to £44,156, with current liabilities decreasing from £27,471 to £17,448, improving net current assets to £26,708. This suggests better short-term financial health and cash flow management.
• Consistent Compliance: No overdue accounts or confirmation statements, indicating good regulatory compliance and governance.
• Positive Net Assets Growth: Net assets more than tripled from £9,011 to £29,152 in the last year, reflecting retained earnings or capital injections strengthening the balance sheet.

4. Due Diligence Notes:

• Review Detailed Profit & Loss Data: The micro-entity accounts do not disclose profit or turnover details. Understanding profitability trends and revenue stability is essential for assessing operational sustainability.
• Assess Client Concentration and Contract Terms: Since the company is a management consultancy, examine client base diversity and contract duration to evaluate revenue risk.
• Confirm Director and PSC Backgrounds: Conduct background checks on directors and persons with significant control to ensure no undisclosed regulatory or reputational risks.
• Cash Flow Analysis: Obtain cash flow statements or bank statements to verify liquidity beyond balance sheet snapshots, particularly given the company’s small size.