LENNON'S VIRTUAL HUB LTD

Executive Summary

Lennon’s Virtual Hub Ltd has demonstrated a recovery from prior negative equity to a positive net asset position as of December 2024, supported by a modest but improving working capital position. The company remains a micro-sized operation with limited resources, which poses some ongoing solvency and liquidity risks. No regulatory filing issues are apparent, but further due diligence is recommended to confirm the sustainability of recent financial improvements and operational viability.

LENNON'S VIRTUAL HUB LTD - Analysis Report

Company Number: 13786987

Analysis Date: 2025-07-20 17:08 UTC

1. Risk Rating: MEDIUM
   The company shows improvement in net assets and working capital in the latest financial year after previously reporting negative equity. However, the absolute figures remain small, and the company is micro-sized with limited operational scale. The modest net asset base and low fixed assets create some solvency risk if unexpected liabilities arise.

2. Key Concerns:

• Prior Negative Equity: The company had negative net assets (£-189) in 2023 and 2022, indicating past solvency pressure, though improved in 2024.
• Limited Scale and Resources: Micro entity status with only one employee and very low fixed assets (£676) may constrain operational stability and growth potential.
• Modest Working Capital: Though positive in 2024 (£3,697), current liabilities are a significant portion of current assets, suggesting liquidity could be tight if cash flow deteriorates.

3. Positive Indicators:

• Improved Financial Position: Turnaround from negative to positive net assets and working capital in 2024 reflects better financial management or business performance.
• Timely Compliance: No overdue accounts or confirmation statement filings, indicating good regulatory compliance and governance.
• Stable Ownership and Management: Directors and persons of significant control remain consistent since incorporation, which supports operational continuity.

4. Due Diligence Notes:

• Confirm the drivers behind the 2024 financial improvement and whether it is sustainable or a one-off event.
• Review cash flow statements or bank statements if available to assess liquidity beyond balance sheet snapshots.
• Investigate the nature of current liabilities and any off-balance-sheet obligations or contingent liabilities.
• Assess the business model’s scalability and revenue generation potential given only one employee and low asset base.
• Verify if there are any director conduct issues or regulatory notices linked to the company or its controllers.