Company Number: 14192405

Analysis Date: 2025-07-19 11:53 UTC

1. Risk Rating: HIGH
   Justification: The company shows a complete erosion of net assets and zero current assets as of the latest financial year end. This sudden depletion from £4,000 net assets in 2023 to zero in 2024 indicates severe financial distress or cessation of trading activity, raising significant solvency and liquidity concerns.

2. Key Concerns:

   • Asset Depletion: The net assets and shareholders' funds have fallen from £4,000 in 2023 to zero in 2024, with current assets fully depleted and no fixed assets recorded. This suggests inability to cover obligations.
   • No Reported Liabilities but No Working Capital: Current liabilities are zero, which may indicate limited operations or lack of creditors, but the absence of current assets implies the company may not have cash or receivables to fund ongoing activities.
   • Minimal Operational Scale: The company reports only one employee and no fixed assets, consistent with a micro-entity but raising questions about operational sustainability and revenue generation.

3. Positive Indicators:

   • Compliance: The company is up to date with filing accounts and confirmation statements, with no overdue filings, indicating good regulatory compliance.
   • No Debt Obligations: Absence of current and long-term liabilities reduces immediate solvency pressure.
   • Clear Director Accountability: Directors have signed off on the accounts and acknowledged statutory responsibilities.

4. Due Diligence Notes:

   • Investigate reasons for the complete depletion of current assets and net assets in the latest accounts—whether this reflects cessation of trading, asset write-offs, or other financial events.
   • Review cash flow statements or management accounts (if available) to assess liquidity and ongoing operational viability.
   • Confirm the nature of the business activities during the last financial year given the zero asset position and minimal employee base.
   • Assess any contingent liabilities or off-balance sheet obligations not disclosed in the micro-entity accounts.
   • Verify director conduct records and any related party transactions given the small scale and asset depletion.