Company Number: SC728506

Analysis Date: 2025-07-29 19:36 UTC

1. Risk Rating: MEDIUM
   The company demonstrates positive net assets and equity, but very tight working capital and minimal fixed assets raise concerns about its ability to comfortably meet short-term obligations. The micro-entity status limits financial disclosure depth, adding some opacity.

2. Key Concerns:

• Near-zero net current assets: Current liabilities (£16,934) slightly exceed current assets (£16,803) in 2024, indicating potential liquidity strain.
• Declining fixed assets: Fixed assets dropped from £8,200 in 2023 to £6,400 in 2024, possibly indicating asset disposals or underinvestment.
• Limited financial history and size: Incorporated in 2022 with micro-entity accounts limits insight into operational stability and financial trends.

3. Positive Indicators:

• Consistent shareholder funds: Equity remains stable around £6,200-£6,600, indicating some capital base.
• No overdue filings: Accounts and confirmation statements are up to date, showing compliance with regulatory requirements.
• Stable employee base: Maintains an average of 5 employees, suggesting operational continuity.

4. Due Diligence Notes:

• Confirm cash flow adequacy given near-zero net current assets and assess short-term liabilities composition.
• Investigate reasons behind fixed asset decrease and whether it impacts operational capacity.
• Review business model and revenue streams for sustainability given micro-entity classification and wholesale trade SIC code (46900).
• Verify director background and any related party transactions given sole control by Mr. Lashkari.
• Consider obtaining management accounts or additional financial disclosures for more comprehensive assessment.