Company Number: 14622484

Analysis Date: 2025-07-20 18:47 UTC

1. Risk Rating: HIGH
   The company shows a negative net asset position (£-494) due to long-term creditors exceeding total assets less current liabilities. The significant long-term liabilities (£6,890) relative to minimal assets (£4,180 fixed, £2,516 current) raise solvency concerns. Being a micro-entity with a short trading history (incorporated in 2023) adds to uncertainty.

2. Key Concerns:

• Solvency risk: Total net assets are negative, indicating the company’s liabilities exceed its assets. This raises questions about its ability to meet long-term obligations.
• Liquidity and working capital: Although net current assets are positive (£2,216), the large creditor balance falling due after one year suggests potential future cash flow strain.
• Operational stability: Limited financial history and a recent name change from an unrelated trade (“KYLIE'S AUTO LTD”) to a media-focused business could indicate restructuring or pivot risks. Additionally, only two employees suggest a very small operation with limited scale.

3. Positive Indicators:

• Compliance: No overdue filings or confirmation statements, indicating management maintains regulatory compliance.
• Clear ownership and control: A single individual holds 75-100% shares and voting rights, simplifying governance and decision-making.
• Industry classification aligns with current business: SIC codes relate to television programming and performing arts support, consistent with the company’s name and implied activities.

4. Due Diligence Notes:

• Investigate nature and terms of long-term creditors: Understanding the £6,890 creditors due after one year is critical to assess repayment schedules and conditions.
• Review cash flow forecasts and funding sources: Given the negative net assets, assessing how the company plans to finance ongoing operations is essential.
• Clarify reason and impact of name and business model change: The transition from “KYLIE'S AUTO LTD” to “KNGS TV LTD” suggests a significant business pivot; understanding this shift’s rationale and progress is important.
• Confirm director's operational experience in media: The director’s occupation as “Car Seller” raises questions about relevant industry expertise, which could impact operational viability.