Company Number: 14518920

Analysis Date: 2025-07-20 17:08 UTC

1. Risk Rating: LOW
   The company's financials show positive net assets and net current assets, with no overdue filings and an active status. The micro-entity size and recent incorporation limit historical data but the balance sheet reflects a solvent position at the latest reporting date.

2. Key Concerns:

• Short Operating History: Incorporated in December 2022, limited historical performance data restricts trend analysis and long-term sustainability assessment.
• Long-term Liabilities: Creditors falling after more than one year amount to £74,181, which is significant relative to net assets (£93,201), warranting monitoring of debt servicing capacity.
• Single Director and Shareholder Control: 100% control by one director/shareholder may present governance risks and potential lack of oversight.

3. Positive Indicators:

• Positive Net Assets and Working Capital: Net current assets of £50,485 and net assets of £93,201 indicate the company can currently meet short-term obligations and has a buffer against liabilities.
• Compliance and Timely Filings: No overdue accounts or confirmation statements, indicating regulatory compliance and good governance in reporting.
• Stable Employment: Average of 5 employees suggests operational activity consistent with micro-entity classification and some scale beyond sole proprietorship.

4. Due Diligence Notes:

• Review the nature and terms of the long-term creditors (£74,181) to evaluate repayment schedules, interest obligations, and any covenants.
• Assess cash flow statements or bank records (not provided) to confirm liquidity beyond balance sheet figures.
• Investigate any related-party transactions given the sole director/shareholder structure.
• Monitor operational performance and market conditions given the retail sector and recent startup status.
• Confirm absence of director disqualifications or regulatory sanctions (none indicated here).