Company Number: 12888994

Analysis Date: 2025-07-29 13:53 UTC

1. Risk Rating: HIGH
   The company exhibits persistent negative net assets and substantial current liabilities exceeding current assets, indicating solvency and liquidity concerns.

2. Key Concerns:

• Negative Net Assets: The company’s net liabilities stand at approximately £60,520 as of the latest accounts, showing a continuing erosion of equity over multiple years.
• Liquidity Deficit: Current liabilities (£1,016,313) vastly exceed current assets (£7,428), resulting in a significant working capital deficit (~-£503,707), which suggests difficulty in meeting short-term obligations.
• No Operating Employees and Limited Activity: The company reports zero employees and minimal current assets, implying limited operational activity and potential reliance on external financing or asset sales to sustain operations.

3. Positive Indicators:

• Substantial Fixed Assets Base: The company holds significant fixed assets valued at £1,459,500, likely representing real estate holdings consistent with its SIC codes (real estate letting and trading).
• Compliance with Filing Requirements: Accounts and confirmation statements are up to date with no overdue filings, demonstrating regulatory compliance and governance discipline.
• No Indication of Insolvency Processes: The company is active and not in liquidation, administration, or receivership, which suggests no formal insolvency proceedings are currently underway.

4. Due Diligence Notes:

• Investigate the nature and market value of the fixed assets to confirm their realizable value and potential for generating cash flows.
• Assess the terms and maturity profile of the £1,016,313 creditors due after more than one year to understand refinancing risks or impending repayments.
• Review the company’s business model and revenue streams (if any) given the absence of employees and minimal current assets, to evaluate operational sustainability.
• Confirm the identity and financial strength of shareholders or guarantors supporting the company’s liabilities.
• Evaluate any contingent liabilities or off-balance sheet commitments not disclosed in the micro-entity accounts.
• Consider obtaining management accounts or cash flow forecasts for a more current picture of financial health.