JED WHITE HEATING & RENEWABLES LTD

Executive Summary

Jed White Heating & Renewables Ltd is a recently incorporated micro-entity with limited financial resources and negative net current assets, posing heightened liquidity and solvency risks. While regulatory compliance is maintained, the company’s small scale and weak equity base warrant cautious scrutiny. Further due diligence on cash flows and liabilities is recommended to assess operational sustainability.

JED WHITE HEATING & RENEWABLES LTD - Analysis Report

Company Number: 14457391

Analysis Date: 2025-07-29 13:21 UTC

1. Risk Rating: HIGH
   The company exhibits signs of financial stress, particularly negative net current assets and very limited net assets, which implies potential solvency and liquidity risks.

2. Key Concerns:

• Negative Net Current Assets: As at 31 March 2024, the company shows net current liabilities of £4,749, indicating current liabilities exceed current assets, a liquidity red flag.
• Low Net Assets and Equity Base: Net assets stand at only £4,700, a marginal increase from £10 the previous year, suggesting minimal financial buffer to absorb shocks or losses.
• Limited Operational History and Scale: Incorporated in late 2022, with only one employee, and micro-entity status, the company has a very limited track record and scale, increasing operational risk and uncertainty about sustainability.

3. Positive Indicators:

• Compliance with Filing Deadlines: The company is current on both accounts and confirmation statement filings, indicating good regulatory compliance to date.
• Sole Director and PSC Alignment: The director and person with significant control are the same individual, which can facilitate decision-making and streamlined governance at this micro scale.
• No Indication of Insolvency Procedures: The company is active and not in liquidation, administration, or receivership.

4. Due Diligence Notes:

• Review cash flow statements and detailed creditor aging to assess immediate liquidity pressures and payment practices.
• Investigate the nature of current liabilities to determine if these are trade payables, loans, or other obligations and their terms.
• Assess business plan and pipeline for revenue growth to evaluate prospects for improving financial health beyond the micro entity scale.
• Confirm background and reputation of the sole director given concentration of control and responsibility.
• Clarify reasons for negative working capital and whether this is typical for the sector or specific to this entity’s operational model.