Company Number: 13884079

Analysis Date: 2025-07-29 18:27 UTC

1. Risk Rating: HIGH
   The company shows extremely limited net assets (negative £20) and minimal working capital, indicating severe solvency and liquidity constraints. The financial position is essentially break-even with no buffer to meet obligations or absorb shocks, posing a high risk to creditors and investors.

2. Key Concerns:

• Persistent negative net current assets and net liabilities, albeit small, suggest ongoing liquidity pressure.
• Very low asset base and minimal equity (£20), raising doubts about the company’s ability to sustain operations or invest in growth.
• Change of directors within a short period could imply governance or operational instability, though more context is needed.

3. Positive Indicators:

• The company is current on filings with Companies House, indicating compliance with regulatory requirements.
• Slight increase in current assets from £100 to £7,373 year-on-year, potentially reflecting some operational improvement or cash inflow.
• Business is active with no signs of liquidation or administration proceedings.

4. Due Diligence Notes:

• Clarify nature and timing of current assets to assess liquidity quality (e.g., cash vs receivables).
• Investigate reasons behind director changes to understand corporate governance and management stability.
• Obtain cash flow statements or bank data to evaluate real-time liquidity and operational cash generation.
• Review contracts or client base to assess revenue sustainability given limited financial resources.
• Confirm how the company funds ongoing operations given minimal equity and near-zero net assets.