ISHANVI INTL LTD

Executive Summary

ISHANVI INTL LTD shows significant solvency and liquidity risks, with persistent negative net assets and high long-term liabilities exceeding asset values. While regulatory compliance and a substantial fixed asset base provide some reassurance, lack of operational data and financial strain suggest elevated financial distress. Further investigation into debt structure and business viability is essential before investment consideration.

ISHANVI INTL LTD - Analysis Report

Company Number: 13161437

Analysis Date: 2025-07-20 17:55 UTC

1. Risk Rating: HIGH
   Justification: The company exhibits negative net assets (shareholders’ funds) and a significant level of long-term liabilities exceeding total assets. Despite holding fixed assets valued at £448,000, the net asset position is negative (£-19,641 for FY 2024), indicating solvency concerns. The current liabilities are substantial relative to current assets, suggesting liquidity pressure.

2. Key Concerns:

• Negative Net Assets: Persistent negative equity over multiple years signals financial distress and potential insolvency risk.
• High Long-Term Creditors: Creditors due after more than one year amount to £337,950, exceeding total assets, which may indicate difficulty in meeting debt obligations.
• No Employees or Revenue Data: The absence of employees and lack of income statement data limits assessment of operational viability, raising concerns about sustainable business activity.

3. Positive Indicators:

• Timely Filing Compliance: Accounts and confirmation statements are up to date with no overdue filings, indicating regulatory compliance and good governance in statutory reporting.
• Fixed Asset Base: The company holds substantial fixed assets (£448,000), presumably real estate given the SIC code, which could be leveraged or sold to alleviate financial pressures.
• Stable Director Presence: A single director has maintained consistent involvement since incorporation, potentially reflecting stable management.

4. Due Diligence Notes:

• Investigate the nature and terms of the long-term creditors, including any security interests or covenants attached to these liabilities.
• Clarify revenue generation, cash flow status, and operational activities since no income statement or turnover data is available.
• Verify the valuation and marketability of the fixed assets to assess realistic recoverable value in case of financial distress.
• Examine any related party transactions or contingent liabilities not disclosed in micro-entity abridged accounts.
• Review director’s intentions and business plan regarding resolving negative equity and debt servicing.