LAUREATE INTERNATIONAL TECH AND ACADEMY LIMITED

Executive Summary

Laureate International Tech and Academy Limited exhibits a high risk profile due to significant negative net assets and sharply deteriorated liquidity as at the end of 2023. While statutory compliance is maintained and the company remains active, the financial figures indicate potential solvency and cash flow challenges that warrant detailed investigation prior to any investment consideration.

LAUREATE INTERNATIONAL TECH AND ACADEMY LIMITED - Analysis Report

Company Number: 13054519

Analysis Date: 2025-07-29 16:17 UTC

1. Risk Rating: HIGH

Justification: The company has reported significant negative net current assets and net liabilities as at 31 December 2023, indicating potential solvency and liquidity issues. The deterioration from prior years is stark, with net current assets moving from positive £948 in 2022 to negative £13,676 in 2023, and net assets going from positive £1,171 to negative £13,802. This suggests the company may struggle to meet short-term obligations.

2. Key Concerns:

• Solvency Risk: Negative net current assets and negative total net assets in 2023 indicate the company’s liabilities exceed its assets, posing a risk to its ability to meet obligations.
• Liquidity Concerns: Current liabilities (£14,223) significantly exceed current assets (£547) as of 2023 year-end, pointing to potential cash flow constraints.
• Operational Sustainability: The company’s fixed assets are minimal (£694), and there is a sharp decline in current assets from £5,418 in 2022 to £547 in 2023, which may reflect operational difficulties or asset disposals.

3. Positive Indicators:

• No Overdue Filings: The company’s accounts and confirmation statement are up to date, suggesting compliance with statutory requirements.
• Active Status: The company remains active and is not in liquidation or administration.
• Increasing Workforce: The average number of employees rose from 1 to 2 between 2022 and 2023, which may indicate some operational activity.

4. Due Diligence Notes:

• Investigate the cause of the dramatic change in current assets and liabilities between 2022 and 2023, including any one-off transactions or creditors’ actions.
• Review cash flow statements or internal management accounts to understand liquidity position and cash burn rate.
• Examine the nature of debts due within one year and any creditor arrangements or overdue payments.
• Assess any related party transactions or director loans that may impact financial position.
• Confirm if there are any contingent liabilities or pending legal issues not disclosed in micro-entity accounts.
• Evaluate business model sustainability given the negative net asset position and small asset base.