Company Number: 13752085

Analysis Date: 2025-07-29 16:08 UTC

1. Risk Rating: HIGH
   The company's financials show an extremely thin equity base with net assets of only £1, negligible working capital (net current assets of £2), and current liabilities almost equal to current assets. This minimal buffer exposes the company to immediate solvency and liquidity risks.

2. Key Concerns:

• Minimal Net Assets & Working Capital: The company’s net assets have remained at £1 over three years, indicating no retained earnings or financial cushion against operational shocks.
• Liquidity Risk: Current assets and liabilities are nearly identical, suggesting very tight cash flow conditions, which may impair the company’s ability to meet short-term obligations promptly.
• Single Director and Shareholder: All control lies with one individual, Mr. John Leyden, who is also the sole employee. This concentration of control and operational dependency on one person poses operational continuity risks.

3. Positive Indicators:

• Compliance with Filings: The company is up to date with its accounts and confirmation statement filings, with no overdue documents, indicating adherence to regulatory requirements.
• Micro-Entity Status: Being a micro-entity limits disclosure requirements and may reduce administrative costs.
• Consistent Reporting: The financial information is consistently reported over three years, showing some stability in record-keeping.

4. Due Diligence Notes:

• Investigate Cash Flow and Revenue Streams: The accounts provide limited detail; understanding the company’s cash inflows, client base, and revenue consistency is crucial to assess operational sustainability.
• Director’s Background and Capacity: Given the operational and control concentration, further inquiry into John Leyden’s experience, financial resources, and plans for business continuity is recommended.
• Future Business Plans and Capital Injection: Clarify if there are plans for capital injection or growth strategies to improve the weak equity position and liquidity constraints.
• Examine any Off-Balance Sheet Liabilities: Confirm that there are no contingent liabilities or debts not reflected in the accounts that could impair financial health.