Company Number: 14719037

Analysis Date: 2025-07-29 18:02 UTC

1. Risk Rating: HIGH
   The company demonstrates a highly leveraged position with significant net current liabilities and minimal net assets relative to current liabilities, indicating potential solvency and liquidity challenges despite being newly incorporated.

2. Key Concerns:

• Negative Net Current Assets: The company reports net current liabilities of £102,821, indicating it may struggle to meet short-term obligations without securing additional funding.
• Low Net Assets and Shareholders’ Funds: Net assets stand at only £2,630, which is very low given the scale of current liabilities (£117,615) and long-term creditors (£35,449). This thin equity buffer heightens insolvency risk.
• Directors’ Advances: The directors are owed £46,723 by the company, which could imply reliance on director loans or related-party transactions. This situation may create governance or financial stability concerns if not properly managed or disclosed.

3. Positive Indicators:

• No Overdue Filings: The company has maintained compliance with filing deadlines for accounts and confirmation statements, reducing regulatory risk.
• Experienced Directors: Both directors are Chartered Building Surveyors, suggesting relevant industry expertise to support operational stability.
• Micro Entity Reporting: The company benefits from simplified reporting requirements, consistent with its size and early stage of operation.

4. Due Diligence Notes:

• Investigate the nature and terms of the directors’ advances and any related-party transactions that may affect liquidity and solvency.
• Review cash flow projections and funding plans to understand how the company intends to cover its negative working capital position and creditor obligations.
• Assess the company's business model, revenue generation, and operational plans given it has been active just over one year and reported negative net current assets.
• Confirm the classification and maturity of creditors to clarify short-term versus long-term obligations and potential refinancing risks.