Company Number: 13848125

Analysis Date: 2025-07-20 17:56 UTC

1. Risk Rating: HIGH
   The company’s financial data shows a net current liability position of £5,050 and negative net assets of the same amount as of 31 January 2024. This indicates the company is insolvent on a balance sheet basis. The absence of fixed assets and negligible current assets (£50) against current liabilities (£5,100) suggests it lacks resources to meet short-term obligations.

2. Key Concerns:

• Solvency Risk: Negative net assets and net current liabilities reflect an inability to cover liabilities with available assets, raising serious doubts about financial viability.
• Liquidity Concerns: Minimal current assets (£50) compared to current liabilities (£5,100) point to severe cash flow constraints, risking failure to pay creditors on time.
• Operational Stability: No employees reported and lack of fixed assets imply no ongoing operational capacity or investment in business infrastructure. Frequent recent name changes (three times within one year) may indicate instability or strategic uncertainty.

3. Positive Indicators:

• The company is compliant with filing deadlines for both accounts and confirmation statements, showing adherence to regulatory requirements.
• Ownership and control are consolidated under a single director and 75-100% shareholder, simplifying governance and decision-making.
• The company is registered as active and not undergoing liquidation or administration, meaning it has not yet formally entered insolvency processes.

4. Due Diligence Notes:

• Investigate the nature and origin of the current liabilities (£5,100) to understand obligations and creditor relationships.
• Clarify the business model and revenue generation plans given the absence of employees and assets.
• Review recent name changes and their rationale to assess implications for business continuity or restructuring efforts.
• Verify any off-balance sheet liabilities or contingent risks not disclosed in micro-entity accounts.
• Assess director’s plans or funding commitments to resolve the negative net asset position.