Company Number: 12916487

Analysis Date: 2025-07-29 18:01 UTC

1. Risk Rating: MEDIUM
   The company demonstrates positive net current assets but shows a significant decline in working capital and shareholders' funds over recent years. The small scale of operations and limited financial disclosures constrain a full assessment, suggesting moderate solvency and liquidity risk.

2. Key Concerns:

• Declining Net Current Assets: Net current assets reduced from £36,407 in 2020 to £6,559 in 2023, indicating diminishing short-term liquidity buffers.
• Small Scale of Operations: Categorized as a micro-entity with only one employee in the latest year, raising questions about operational sustainability and growth potential.
• Director Turnover: The resignation of a director (Kevin Phillip Redman) in early 2023 may impact governance or continuity, especially given the significant shareholding and control held by key individuals.

3. Positive Indicators:

• Compliance with Filings: The company is current with both accounts and confirmation statement filings, indicating regulatory compliance and good governance discipline.
• Positive Shareholders’ Funds: Despite reductions, shareholders' funds remain positive, suggesting the company is not insolvent at the balance sheet date.
• Established Control Structure: The presence of two named persons with clear significant control and voting rights can support decisive management and oversight.

4. Due Diligence Notes:

• Review detailed income statement and cash flow information if available to assess profitability trends and cash generation.
• Investigate reasons behind the declining net current assets and shareholders’ funds, including any off-balance sheet liabilities or contingencies.
• Assess the impact of director resignation on company strategy and governance, including any changes in operational management.
• Confirm the accuracy and completeness of financial records given the unaudited status of accounts and reliance on micro-entity exemptions.