Company Number: 13666560

Analysis Date: 2025-07-29 19:26 UTC

1. Risk Rating: LOW
   The company demonstrates solid net asset growth, positive working capital, and timely filing of statutory accounts and confirmation statements. These factors collectively indicate a low risk of insolvency or compliance issues at present.

2. Key Concerns:

• Reduction in fixed assets from £131,942 (2023) to £112,150 (2024) may suggest asset disposals or depreciation outpacing reinvestment, which warrants monitoring for operational impact.
• Decrease in average employee headcount from 29 to 24 could indicate cost-cutting or scaling down operations, which may affect revenue generation capacity.
• High prepayments and accrued income (£164,803) relative to current assets could impact liquidity if these amounts are not readily convertible to cash.

3. Positive Indicators:

• Strong net current assets of £237,172 (2024) with current assets significantly exceeding current liabilities (£328,756 vs. £256,387) supports short-term liquidity.
• Net assets increased from £264,595 (2023) to £312,426 (2024), reflecting retained earnings and overall financial strengthening.
• The company is up to date with all statutory filings, indicating good regulatory compliance and governance oversight.
• Directors hold balanced control with no indications of disqualifications or governance concerns.

4. Due Diligence Notes:

• Review detailed cash flow statements and profit & loss accounts (not provided) to assess operational cash generation and profitability trends.
• Investigate the nature and timing of prepayments and accrued income to confirm liquidity availability.
• Assess reasons behind fixed asset reduction and employee count decrease to understand operational stability and strategy.
• Validate that no contingent liabilities or off-balance sheet risks exist that could affect solvency.
• Confirm ongoing compliance with industry regulations specific to amusement and recreation activities given the SIC code 93290.