INFINITE SOURCE LTD

Executive Summary

Infinite Source Ltd is a newly incorporated private limited company operating in real estate management with significant early-stage financial deficits. The company’s current liabilities exceed its assets, and cash reserves are minimal, posing liquidity and solvency risks. However, regulatory filings are current and governance is clear, warranting close monitoring of operational developments and financial support mechanisms.

INFINITE SOURCE LTD - Analysis Report

Company Number: 15240104

Analysis Date: 2025-07-20 17:48 UTC

1. Risk Rating: HIGH
   The company exhibits significant solvency and liquidity concerns with net current liabilities exceeding cash reserves and negative shareholders’ funds shortly after incorporation.

2. Key Concerns:

• Negative Net Assets: The company shows net liabilities of £3,042 at its first year-end, indicating the company’s liabilities exceed its assets.
• Liquidity Shortfall: Cash on hand is minimal (£7), while current liabilities (loans from directors) stand at £3,049, raising immediate cash flow risk.
• Lack of Operational Activity: No employees and no reported profit and loss account available suggest minimal or no trading activity, impairing operational sustainability.

3. Positive Indicators:

• Compliance with Filings: Accounts and confirmation statements are up to date with no overdue filings or penalties, reflecting good regulatory compliance for a new company.
• Single Director and PSC Control: Clear governance structure with one director who is also the sole person with significant control, simplifying decision-making processes.
• Small Company Regime Applied: Accounts prepared under FRS 102 Section 1A for small entities, indicating the company is within thresholds for simplified reporting.

4. Due Diligence Notes:

• Investigate the nature and terms of the director loans (£3,049) to understand repayment expectations and potential impact on liquidity.
• Clarify the company’s business plan given the lack of employees and minimal cash, particularly how it intends to generate revenue in real estate management.
• Confirm whether there have been any trading activities or contracts secured since incorporation, as the SIC codes indicate real estate management and agency activities.
• Review any subsequent financial updates or interim management accounts to assess progress beyond the first accounting period.
• Assess the director’s capacity and financial backing to support the company’s ongoing operations, given the negative shareholders’ funds position.