Company Number: 14471788

Analysis Date: 2025-07-20 14:59 UTC

1. Risk Rating: HIGH
   Justification: The company has net current liabilities and negative shareholders' funds shortly after incorporation, indicating potential solvency and liquidity issues at an early stage.

2. Key Concerns:

• Negative net current assets of £259 and shareholders' funds of -£359 suggest the company’s liabilities exceed its assets, which is a significant solvency risk.
• Very limited cash balance (£3,327) relative to current liabilities (£3,586) points to tight liquidity and possible cash flow constraints.
• The company is newly incorporated (Nov 2022) and has only one employee (the director), raising concerns about operational scale and sustainability without further capital or revenue growth.

3. Positive Indicators:

• The company is compliant with filing deadlines (accounts and confirmation statement are up to date), indicating good regulatory compliance so far.
• Ownership and control are consolidated under a single director with relevant occupational experience (Plumbing & Heating Engineer), which could support focused management.
• The company is exempt from audit, reducing immediate administrative burdens and costs.

4. Due Diligence Notes:

• Investigate the company's business plan and revenue projections to evaluate operational sustainability and how solvency will be improved.
• Review cash flow statements and any external funding arrangements to assess liquidity management and potential capital injections.
• Confirm director’s intended strategy for addressing the negative equity position and whether any related-party transactions or loans exist beyond those disclosed.
• Assess whether the company has any outstanding tax obligations, given a material tax and social security creditor balance (£2,198).