Company Number: 13690087

Analysis Date: 2025-07-20 16:47 UTC

1. Risk Rating: HIGH
   The company shows persistent negative net assets which deteriorated from -£10,302 in 2022 to -£16,055 in 2023, indicating ongoing accumulated losses. Despite positive net current assets, significant long-term liabilities exceed total assets, pointing to solvency risks.

2. Key Concerns:

• Negative Shareholders’ Funds: The company’s equity is negative and worsening, raising concerns about financial stability and solvency.
• Long-Term Creditors and Provisions: Creditors due after one year increased to £33,776 and provisions nearly doubled to £4,336, suggesting considerable liabilities that may pressure future cash flows.
• Limited Financial Transparency: As a micro-entity, accounts are unaudited and abbreviated, limiting insight into profitability, cash flow, and contingent liabilities.

3. Positive Indicators:

• Current Assets Exceed Current Liabilities: Net current assets improved to £16,542, indicating reasonable short-term liquidity.
• Timely Filing Compliance: Accounts and confirmation statements are up to date with no overdue filings, reflecting regulatory compliance.
• Stable Management: The sole director and controlling shareholder has maintained consistent oversight since incorporation, which may support operational continuity.

4. Due Diligence Notes:

• Investigate the nature and terms of long-term liabilities and provisions to understand repayment obligations and potential financial strain.
• Request management accounts or cash flow statements if available to evaluate operational cash generation and liquidity beyond balance sheet snapshots.
• Clarify reasons for sustained negative equity—whether due to operational losses, investments, or other factors—and assess plans for capital infusion or turnaround.
• Confirm no director disqualifications or regulatory issues beyond what is publicly filed, given sole director control.