Company Number: OC448225

Analysis Date: 2025-07-20 15:08 UTC

1. Risk Rating: LOW

The company demonstrates a solid short-term financial position with net current assets of £215,041 and positive net assets of the same amount. The absence of overdue filings and the company’s active status further support a low risk rating.

2. Key Concerns:

• Reliance on Members’ Loans: The entire net assets value is represented by loans and other debts due to members (£215,041). This indicates the company’s capital structure is heavily dependent on member funding rather than external financing or retained earnings.
• Limited Operational History: Incorporated in July 2023, the LLP has a very short trading history with only one set of financial statements. This limits visibility on long-term operational sustainability.
• Single Employee Structure: The LLP has only one member employed, which could indicate limited operational capacity and potential dependency on a single individual for business continuity.

3. Positive Indicators:

• Strong Liquidity Position: Cash at bank of £126,802 and current assets exceeding current liabilities by a significant margin (net current assets of £215,041) suggest good short-term liquidity.
• Compliance: All statutory filings (accounts and confirmation statement) are up to date with no overdue status, indicating sound regulatory compliance.
• Clear Control Structure: Members with significant control are well documented, with no indication of governance issues or director disqualifications.

4. Due Diligence Notes:

• Investigate the nature and terms of loans due to members to understand repayment obligations and whether these represent permanent capital or short-term funding.
• Assess the business plan and revenue model given the limited trading period to evaluate prospects for sustainable operations and growth.
• Review any related party transactions, particularly with Joel Corry Ltd, to ensure transparency and arm’s length dealings.
• Since the LLP has no audit exemption mentioned beyond small LLP status, confirm whether any financial statement limitations might affect reliability.
• Examine contractual obligations or contingent liabilities not disclosed in the current financials.