JDR COMMISSIONING LTD

Executive Summary

JDR Commissioning Ltd is a small but solvent private limited company with improving liquidity and equity. The company maintains good regulatory compliance and exhibits positive financial trends over its first two years. However, investor attention should focus on operational scale, director dependency, and tax liabilities for a comprehensive risk assessment.

JDR COMMISSIONING LTD - Analysis Report

Company Number: 13888628

Analysis Date: 2025-07-20 17:15 UTC

1. Risk Rating: LOW

Justification: JDR Commissioning Ltd demonstrates a positive net asset position with improving working capital, no overdue filings, and no indications of insolvency or distress. The company has been active since 2022 with up-to-date statutory compliance and modest but growing financial resources, which supports a low risk rating at this stage.

2. Key Concerns:

• Reliance on a single director and sole person with significant control (PSC), which could present governance and continuity risks.
• Relatively small scale of operations with only one employee and minimal fixed assets, potentially limiting operational resilience and growth capacity.
• The corporation tax creditor is increasing (£12,950 in 2024 vs £8,665 in 2023), which may indicate tax liabilities accumulating without immediate settlement.

3. Positive Indicators:

• Strong improvement in net current assets from £939 in 2023 to £10,827 in 2024, indicating better short-term liquidity.
• Cash balance increased from £3,595 in 2023 to £8,508 in 2024, providing a stronger cash buffer to meet immediate obligations.
• No overdue accounts or confirmation statements, reflecting good regulatory compliance and governance.
• Shareholders’ funds have increased substantially from £1,739 to £11,467 within two years, suggesting retained earnings growth and a strengthening equity base.

4. Due Diligence Notes:

• Investigate the nature and collectability of the significant increase in debtors (£24,373 in 2024 vs £17,633 in 2023) to assess cash flow reliability and credit risk.
• Clarify the reasons behind the rising corporation tax creditor and confirm the company's tax payment strategy and timing.
• Review the director's loan account details and any related party transactions to ensure transparency and proper financial controls.
• Confirm the sustainability of business operations given the very small scale and single employee, including client diversification and revenue streams.
• Monitor closely the dependency on the sole director for management and strategic decisions.