Company Number: 13021578

Analysis Date: 2025-07-20 14:20 UTC

1. Risk Rating: MEDIUM
   JK Scaffolding Services Ltd shows a mixed financial position with moderate net assets but current liabilities exceeding current assets, suggesting some liquidity pressure. Its micro-entity status limits disclosure detail. The company is relatively new (incorporated 2020) but currently active and compliant with filings.

2. Key Concerns:

• Liquidity Deficit: Current liabilities (£96,886) surpass current assets (£72,556) as of 2023, indicating potential short-term cash flow challenges.
• Creditors Due After One Year: The presence of £16,891 creditors due after one year adds to the company’s debt obligations, which could pressure cash flows if not managed effectively.
• Single Director and Shareholder Control: Mr. Jordan Knowles controls 75-100% of shares and voting rights, concentrating governance risk; limited oversight may impact operational stability.

3. Positive Indicators:

• Growing Fixed Assets: Fixed assets increased to £110,067 in 2023 from nil in previous years, indicating investment in operational capacity.
• Compliance and Timely Filings: No overdue accounts or confirmation statements; filings are up to date, reflecting good regulatory compliance.
• Positive Shareholders’ Funds: Shareholders’ funds stand at £68,759, a significant improvement from prior years (£1), showing accumulation of retained earnings or capital injection.

4. Due Diligence Notes:

• Investigate the nature and terms of current and long-term creditors to assess repayment risk and liquidity management strategies.
• Review cash flow statements and bank balances (not available here) to confirm operational cash generation and ability to meet short-term obligations.
• Evaluate the business model and contracts to ascertain sustainability and growth prospects in the scaffolding sector.
• Confirm no undisclosed related party transactions given the sole director’s controlling interest.
• Consider director’s background and any potential risk indicators beyond current data.