KBP MEDICAL LTD

Executive Summary

KBP MEDICAL LTD presents a low risk profile supported by consistent net asset growth, positive working capital, and compliance with filing requirements. However, the small operational scale and negative current liabilities warrant further review to confirm liquidity and operational stability. Concentrated ownership also suggests a need for governance oversight.

KBP MEDICAL LTD - Analysis Report

Company Number: 13538335

Analysis Date: 2025-07-20 16:47 UTC

1. Risk Rating: LOW
   The company demonstrates solid net asset growth and positive net current assets, with no overdue filings or liquidation status. Its micro-entity accounting regime and lack of audit exemption are appropriate for its size, indicating compliance.

2. Key Concerns:

• Negative Current Liabilities: The company shows negative current liabilities (£-9,295 in 2024), which may indicate prepaid expenses or accounting presentation issues needing clarification.
• Limited Operational Scale: With only one average employee and micro-entity status, the company may have limited operational capacity and scalability risks.
• Concentrated Control: Two directors each control 25-50% of shares and voting rights, indicating family or closely-held ownership which could pose governance risks if not properly managed.

3. Positive Indicators:

• Strong Asset Growth: Net assets increased from £52,818 in 2021 to £127,660 in 2024, showing business growth and capital retention.
• Healthy Liquidity: Net current assets improved from £60,127 in 2023 to £88,468 in 2024, indicating good short-term financial health.
• Filing Compliance: No overdue accounts or confirmation statements, demonstrating adherence to regulatory timelines.

4. Due Diligence Notes:

• Clarify the nature and reason for negative current liabilities to ensure no underlying liabilities are understated.
• Review cash flow statements (not provided) to assess liquidity beyond balance sheet figures.
• Investigate operational sustainability given the small staff size and the company’s ability to maintain or grow revenue in the general medical practice sector.
• Confirm director background and governance arrangements due to concentrated shareholding and voting control.