L2F DIRECT LIMITED

Executive Summary

L2F DIRECT LIMITED is an inactive, newly formed private company with dormant status and negligible financial data, presenting a high risk for investors due to lack of operational history and financial substance. While regulatory compliance is maintained, the absence of trading results and concentrated ownership highlight significant uncertainties. Further investigation into the company’s strategic plans and director background is essential before considering investment.

L2F DIRECT LIMITED - Analysis Report

Company Number: 15164368

Analysis Date: 2025-07-20 18:54 UTC

1. Risk Rating: HIGH
   Given the company’s status as dormant with minimal financial activity and only nominal net assets (£1), there is a high risk from a solvency and liquidity perspective. The lack of operational trading history and cash flow data further exacerbates this risk assessment.

2. Key Concerns:

• Dormant Status with Minimal Financials: The company has filed dormant accounts showing virtually no financial activity (cash and net assets of £1), indicating no trading or revenue generation.
• Newly Incorporated with No Operational History: Incorporated in late 2023, the company lacks an operational track record to assess business sustainability or revenue generation capacity.
• Single Director and Sole Shareholder Control: Mr. Faraz Shaikh holds 100% control over shares and voting rights, which concentrates decision-making risk without evident corporate governance structures or checks.

3. Positive Indicators:

• Up to Date Filing Compliance: The company has submitted its dormant accounts and confirmation statement on time, showing compliance with regulatory requirements.
• Clear PSC Register and Director Details: Transparency in ownership and directorship is maintained with no adverse records noted.
• Defined Industry Focus: The company has specified SIC codes relating to IT consultancy and internet retail, which are growth sectors, albeit with no current trading activity.

4. Due Diligence Notes:

• Investigate the company’s business plan or strategy to understand future trading intentions and funding sources.
• Confirm any off-balance-sheet liabilities or commitments not disclosed in dormant accounts.
• Review background and track record of the director/shareholder, Mr. Faraz Shaikh, especially regarding experience in IT consultancy or e-commerce.
• Monitor forthcoming accounts to detect any commencement of trading and evolving financial health.