JSF COOPERATION LTD

Executive Summary

JSF COOPERATION LTD appears solvent with positive net assets and no overdue filings, but the presence of proposed dividends as a creditor and outstanding director loans present moderate concerns. The company’s small scale and limited operational data warrant caution, and further investigation into cash flow and governance is recommended to fully assess financial stability and operational sustainability.

JSF COOPERATION LTD - Analysis Report

Company Number: 13589487

Analysis Date: 2025-07-29 21:04 UTC

1. Risk Rating: MEDIUM
   The company shows a positive net asset position and modest working capital, suggesting solvency. However, the presence of proposed dividends recorded as a negative creditor and ongoing director loans require scrutiny. The company’s infancy (incorporated 2021) and limited operational scale (one employee) also temper confidence regarding operational stability.

2. Key Concerns:

• Proposed Dividends as Creditors (£9,767): This unusual classification of dividends as a creditor liability may indicate potential cash flow or governance issues needing clarification.
• Loans to Director Unchanged (£10,000): The director loan balance has remained constant with no repayments, which could affect liquidity and raises questions about related party transactions and cash availability.
• Limited Size and Scale: With only one employee and very modest current assets, the company’s operational sustainability and growth prospects appear limited, increasing risk if external shocks occur.

3. Positive Indicators:

• Positive Net Current Assets and Net Assets (£17,967): The company maintains positive working capital and equity, indicating it is not insolvent and can meet short-term obligations currently.
• No Overdue Filings: Both accounts and confirmation statements are filed on time, suggesting regulatory compliance and good governance practices.
• Consistent Accounting Policies and Compliance: The accounts are prepared under FRS 102 Small Entities with no material departures, and the company benefits from audit exemption, appropriate for its size.

4. Due Diligence Notes:

• Investigate the nature and timing of the proposed dividends liability on the balance sheet to understand if this reflects an obligation or accounting treatment anomaly.
• Review director loan terms, including interest, repayment schedule, and whether it impacts company cash flow or financial stability.
• Obtain more detailed trading and cash flow information to assess operational performance and sustainability beyond balance sheet snapshots.
• Confirm that the company’s activities under multiple SIC codes are generating sufficient revenue and are compliant with sector regulations.