Company Number: 14256312

Analysis Date: 2025-07-29 13:05 UTC

1. Risk Rating: LOW
   Justification: Leepops Ltd shows positive net current assets and net assets growth from £2,278 in 2023 to £32,850 in 2024, indicating an improving financial position. There are no overdue filings or indications of regulatory non-compliance. The company is newly established but compliant with filing deadlines.

2. Key Concerns:

• Limited financial history and scale: The company is very young (incorporated in 2022) and micro-entity sized, which limits insight into operational resilience or long-term sustainability.
• Concentration of control: One individual, Miss Hafsah Shahid Anwar, holds 75-100% of shares and voting rights, which could present governance risks if not balanced by robust oversight.
• Small workforce: With only 2 employees on average, the business may face operational risks related to limited human resources and capacity constraints.

3. Positive Indicators:

• Strong improvement in liquidity: Current assets increased substantially from £24,500 to £128,992 within one year, improving net current assets and working capital.
• Timely compliance: No overdue accounts or confirmation statements, implying sound regulatory diligence.
• Clear ownership structure: PSC information is transparent and up to date, showing no hidden or complex control arrangements.

4. Due Diligence Notes:

• Verify the nature and sustainability of the increase in current assets—whether it is cash, receivables, or inventory—and the underlying business model supporting this growth.
• Assess the company’s revenue streams and profitability, as no profit and loss data is provided; micro-entity accounts limit available financial disclosures.
• Review governance practices given the dominant shareholding and recent director changes to evaluate potential risks in management continuity and decision-making.
• Confirm absence of any contingent liabilities or off-balance sheet risks that may not be reflected in the micro-entity balance sheet.