INKSANITY TATTOO STUDIO LTD

Executive Summary

INKSANITY TATTOO STUDIO LTD presents a low-risk profile based on its current financial position and compliance status. The business operates at a small scale with stable liquidity and clear ownership, though limited growth and management continuity warrant further review. Overall, the company appears financially sound with no immediate solvency or regulatory concerns.

INKSANITY TATTOO STUDIO LTD - Analysis Report

Company Number: 13639696

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

1. Risk Rating: LOW
   The company demonstrates stable net assets and positive working capital over recent years, with no overdue filings or indicators of financial distress. The micro-entity status and consistent small scale operations reduce complexity and risk.

2. Key Concerns:

1. Limited scale and growth: The company remains small (micro-entity) with modest assets and liabilities, which could make it vulnerable to market shifts or cash flow pressures.
2. Director change: One director appointed recently (April 2023) resigned before the 2025 year-end, suggesting possible governance or management continuity questions.
3. Concentrated control: Two individuals hold all significant control, which may raise concerns about decision-making robustness and succession planning.

3. Positive Indicators:

1. Healthy liquidity: Current assets comfortably exceed current liabilities, indicating solid short-term financial health.
2. No overdue compliance: All statutory filings, including accounts and confirmation statements, are up-to-date, reflecting good regulatory compliance.
3. Stable ownership and voting rights: Ownership structure is clearly defined, with no apparent disputes or changes, supporting operational stability.

4. Due Diligence Notes:

• Review cash flow statements and profit & loss accounts (not provided) to assess operational profitability and cash generation.
• Investigate reasons behind director resignation and overall management structure to understand potential governance risks.
• Confirm customer concentration and revenue diversification to evaluate sustainability given small business scale.
• Verify any off-balance-sheet liabilities or contingent risks not captured in the micro-entity accounts.