Company Number: 14811641

Analysis Date: 2025-07-29 13:56 UTC

1. Risk Rating: HIGH
   The company exhibits significant solvency concerns as indicated by net liabilities of £10,480 within its first financial period. Current liabilities exceed current assets by £25,105, reflecting negative working capital and liquidity stress.

2. Key Concerns:

• Negative Net Assets and Shareholders’ Funds: The company has net liabilities, meaning total liabilities exceed total assets, which is a critical financial red flag.
• Poor Liquidity Position: Current liabilities (£29,074) vastly exceed current assets (£3,969), indicating potential difficulties in meeting short-term obligations.
• Early Stage with Limited Financial History: Incorporated in April 2023, the company has limited operational track record to assess sustainability or financial improvement trajectory.

3. Positive Indicators:

• Compliance with Filings: The company is up to date with both accounts and confirmation statement filings, showing regulatory compliance at this early stage.
• Active Website and Contact Availability: An active website with clear contact information suggests operational intent and some degree of market presence.
• Directors’ Engagement: Both directors are actively appointed since incorporation with no reported disqualifications, indicating no immediate governance concerns.

4. Due Diligence Notes:

• Examine Cash Flow and Financing Plans: Investigate how the company intends to manage its negative working capital and net liabilities, including any planned equity injections or credit facilities.
• Assess Revenue and Profitability Trends: Review turnover and profit and loss details (not fully disclosed) to understand operational viability and growth prospects.
• Confirm Directors’ Background and Related Party Transactions: Verify the directors’ experience in scaffolding or related sectors and check for any loans or guarantees they may have provided.
• Evaluate Contractual Backlog and Client Base: Understanding existing contracts will provide insight into future cash inflows and operational stability.