Company Number: 13814702

Analysis Date: 2025-07-20 11:23 UTC

1. Risk Rating: HIGH
   The company shows a significant negative net asset position (£-14,108) as of 30 November 2023 due to large long-term creditors (£38,488) exceeding total assets. This indicates solvency concerns. The micro-entity status limits available financial detail but the large creditor balance and negative equity are red flags.

2. Key Concerns:

• Negative net assets driven primarily by sizeable long-term liabilities (£38,488) outstripping assets (£24,380) as at 30/11/2023.
• Small current asset base (£4,127) versus current liabilities (noted ambiguously as negative £500 in accounts - potential data inconsistency but overall liquidity appears constrained).
• Recent turnover to new directors, with two resignations in 2023, may indicate instability or governance disruption.

3. Positive Indicators:

• The company is active and has filed accounts and confirmation statements on time, indicating compliance with statutory obligations.
• Shareholders funds improved from £100 in 2021 to £14,108 in 2023, suggesting some capital injections or retained profits.
• Employs a small workforce (2 employees), consistent with micro-entity classification, which may limit overheads.

4. Due Diligence Notes:

• Clarify the nature and terms of the £38,488 long-term creditors to assess repayment risks and potential restructuring.
• Confirm the accuracy of current liabilities figures, as there appears to be a discrepancy in the accounts document (negative £500 under creditors).
• Investigate reasons for director resignations and management changes during 2023 for any operational or governance issues.
• Review cash flow statements or management accounts if available to assess liquidity beyond year-end snapshots.
• Verify if the company has any contingent liabilities or significant contracts that could impact financial health.