LAURA FRANCES (NORFOLK) LTD

Executive Summary

Laura Frances (Norfolk) Ltd is a micro-entity operating in hairdressing and beauty treatments with a stable liquidity position and positive net assets. The company is compliant with filing requirements and shows modest growth in net assets. However, investor attention should focus on the company’s small scale, sole director dependence, and the director's loan account to fully assess operational and financial risks.

LAURA FRANCES (NORFOLK) LTD - Analysis Report

Company Number: 14067647

Analysis Date: 2025-07-29 15:57 UTC

1. Risk Rating: LOW
   The company shows consistent net current assets and positive net assets, indicating it can meet short-term liabilities. It has no overdue filings and is active, which supports regulatory compliance and operational continuity.

2. Key Concerns:

• Modest scale: The company is a micro-entity with limited turnover and only one employee, which may limit operational resilience and growth potential.
• Dependence on director: The sole director is also the 75-100% shareholder and the only employee, concentrating operational and governance risk.
• Creditors include a director's loan account balance, which may impact financial structure and cash flow flexibility.

3. Positive Indicators:

• Positive and improving net assets (£7,245 in 2025 vs. £5,565 in 2024) indicating retained earnings growth and financial stability.
• Healthy liquidity position with current assets exceeding current liabilities by approximately £5,000.
• No overdue accounts or confirmation statements, indicating good compliance with statutory requirements.
• Tangible fixed assets increased, suggesting investment in operational capacity.

4. Due Diligence Notes:

• Verify the nature and terms of the director’s loan account and its impact on cash flow and external creditor priority.
• Assess turnover, profitability trends, and cash flow details beyond the balance sheet to confirm operational sustainability. The provided accounts are filleted and exclude profit and loss details.
• Confirm that there are no contingent liabilities or off-balance-sheet obligations that might impair solvency.
• Review the business model and market position given the small size and sole director structure to assess risks related to operational continuity.