KABS SERVICES LTD

Executive Summary

Kabs Services Ltd is a micro-entity with a stable net asset position and current liabilities well covered by current assets, indicating low solvency risk. While the company maintains good compliance with no overdue filings, limited financial disclosures and a short operating history warrant further due diligence for assessing operational sustainability and governance risk. Overall, the company currently presents a low risk profile for investors with caveats around transparency and scale.

KABS SERVICES LTD - Analysis Report

Company Number: 14258049

Analysis Date: 2025-07-20 14:37 UTC

1. Risk Rating: LOW
   Kabs Services Ltd demonstrates a solid net asset position relative to its size, with positive net current assets and no overdue filings. The company’s financials indicate a stable liquidity position and no immediate solvency concerns.

2. Key Concerns:

• Limited scale and operating history: Incorporated in mid-2022, the company has a short track record, which introduces inherent uncertainty about long-term operational stability.
• Micro-entity reporting: Accounts are prepared under micro-entity provisions with limited disclosure, restricting visibility into profitability, cash flows, and contingent liabilities.
• Concentrated control: The sole director and 75-100% shareholder is the same individual, which may increase governance risk due to lack of independent oversight.

3. Positive Indicators:

• Positive net current assets (£10,911 in 2024) indicate the company can cover its short-term liabilities comfortably.
• No overdue statutory filings and up-to-date confirmation statements reflect good regulatory compliance and governance practices.
• Incremental growth in net assets from £7,442 in 2023 to £10,911 in 2024 suggests some retained profitability or capital injection.
• Increase in average employees from 1 to 2 may indicate modest business expansion.

4. Due Diligence Notes:

• Obtain profit and loss details and cash flow statements to assess earnings quality and liquidity trends more precisely, as they are not included in the micro-entity filings.
• Review contracts, customer base, and sector risk for both SIC activities (private security and taxi operations) to evaluate business sustainability.
• Verify absence of contingent liabilities or related party transactions due to single shareholder/director status.
• Confirm director background and any potential regulatory or legal issues given sole control and directorship.
• Monitor future filings for consistent growth and compliance.