LINKS WEB DESIGN LTD

Executive Summary

LINKS WEB DESIGN LTD is a recently incorporated micro-entity with no compliance issues but exhibits early-stage liquidity concerns due to negative net current assets. While shareholders’ funds provide some cushion, the small scale and limited operating history warrant cautious monitoring. Further due diligence on provisions and cash flows is recommended to better understand the company’s financial resilience and operational outlook.

LINKS WEB DESIGN LTD - Analysis Report

Company Number: 14924275

Analysis Date: 2025-07-29 16:19 UTC

1. Risk Rating: MEDIUM
   The company is very new (incorporated June 2023) and classified as a micro-entity. While no overdue filings or signs of insolvency are present, the financial position indicates negative net current assets and modest net assets, which could present short-term liquidity challenges. The limited operating history also constrains assessment of operational stability.

2. Key Concerns:

• Negative Net Current Assets: The balance sheet shows current liabilities (£2,471) exceeding current assets (£773) by £1,698, leading to a net current asset figure of -£820, suggesting potential liquidity stress.
• Small Scale and Early Stage: As a micro-entity with only 2 employees and minimal fixed assets (£1,925), the business may face operational risks typical of startups including limited financial buffers.
• Provisions for Liabilities: The presence of £135 in provisions without detail could indicate contingent obligations or pending costs that need clarification to assess impact on solvency.

3. Positive Indicators:

• No Filing or Compliance Issues: Accounts and confirmation statements are filed on time, reflecting good regulatory compliance so far.
• Solid Shareholder Funding: Shareholders’ funds of £980 and paid-up share capital indicate some equity backing.
• Clear Control Structure: Two directors with defined shareholdings and management roles provide transparency and centralized decision-making.

4. Due Diligence Notes:

• Investigate the nature and adequacy of provisions for liabilities to understand potential contingent risks.
• Review cash flow statements or bank statements (if available) to evaluate actual liquidity and working capital cycle.
• Obtain management commentary on business model, revenue generation, and growth plans to assess operational sustainability.
• Confirm no director disqualifications or adverse conduct records exist beyond public filings.
• Monitor subsequent filings and financial updates to track progress beyond the initial year of operation.