Company Number: 15392772

Analysis Date: 2025-07-20 14:01 UTC

1. Risk Rating: HIGH
   The company shows significant solvency concerns with net liabilities of £9,083 despite being a micro-entity. The creditor amounts due after one year (£15,637) exceed current assets and net current assets, indicating possible difficulties meeting longer-term obligations. The company is newly incorporated with limited operational history, increasing uncertainty.

2. Key Concerns:

• Negative net assets (£9,083) and shareholders’ funds indicate the company is currently insolvent on a balance sheet basis.
• Creditors due after more than one year (£15,637) significantly outweigh current assets (£4,686), raising liquidity and solvency risk.
• Lack of profit and loss account filing limits insight into operational performance and cash flow generation. Only unaudited accounts are filed under micro-entity provisions, reducing transparency.

3. Positive Indicators:

• The company is compliant with filing deadlines for accounts and confirmation statements, indicating good regulatory adherence.
• Director and significant control information is clear and consistent; the sole director appears to be actively managing the company.
• The company operates in the hairdressing and beauty treatment sector (SIC 96020), which may have steady local demand.

4. Due Diligence Notes:

• Investigate the nature and terms of the long-term creditors (£15,637) to assess repayment schedules and potential restructuring risks.
• Request management accounts or cash flow projections to evaluate operational cash generation and short-term liquidity.
• Confirm the business model viability and client base given the company’s young age and negative equity position.
• Clarify the reasons for accumulated losses and whether there is a plan to return to profitability.
• Verify if any director or related party loans contribute to the creditor balances and potential conflicts of interest.