Company Number: 13278735

Analysis Date: 2025-07-19 12:26 UTC

1. Risk Rating: HIGH
   The company exhibits significant solvency and liquidity risks as evidenced by persistent net current liabilities exceeding £300k and negative net assets worsening from -£44,870 in 2023 to -£65,393 in 2024. This indicates an inability to meet short-term obligations and an overall deficit in shareholder funds.

2. Key Concerns:

• Negative Net Assets and Shareholders’ Funds: The company has reported net liabilities for multiple years, indicating accumulated losses and potential insolvency risk.
• Substantial Current Liabilities vs Minimal Current Assets: Current liabilities of approximately £332k dwarf current assets (~£5k), leading to severe negative working capital and liquidity stress.
• Lack of Audit and Limited Financial Disclosure: Accounts are prepared under micro-entity provisions without audit, limiting transparency on operational performance and cash flow, increasing uncertainty.

3. Positive Indicators:

• Consistent Fixed Asset Base: Fixed assets remain stable around £574k-£581k, suggesting some underlying value in long-term assets.
• No Overdue Filings or Compliance Issues: Accounts and confirmation statements are filed timely, reflecting regulatory compliance and governance discipline.
• Stable Board with Experienced Directors: Four directors have been in place since incorporation without reported disqualifications, indicating stable leadership.

4. Due Diligence Notes:

• Investigate the nature and terms of the £332k creditors falling due after more than one year to understand refinancing or restructuring arrangements.
• Review detailed cash flow statements and profit & loss accounts (not available here) to assess operational viability and recurring losses or income streams.
• Evaluate the realizable value and liquidity of fixed assets to determine potential to cover liabilities.
• Confirm if any related party transactions or director loans affect the financial position.
• Assess future business plans or capital injections intended to restore solvency.