LODGE LANE LAND LIMITED

Executive Summary

LODGE LANE LAND LIMITED currently faces significant solvency and liquidity challenges, reflected by its negative net assets and working capital deficit. While statutory compliance is maintained and governance appears stable, the company’s continued operations rely heavily on director and creditor support. Further inquiry into asset quality and cash flow projections is advisable to fully assess financial stability and operational sustainability.

LODGE LANE LAND LIMITED - Analysis Report

Company Number: 14358729

Analysis Date: 2025-07-29 18:26 UTC

1. Risk Rating: HIGH
   The company exhibits a high solvency risk given its net liabilities position, with shareholders’ funds being negative (£-1,140) and current liabilities significantly exceeding current assets. This suggests the company does not have sufficient short-term resources to meet its obligations.

2. Key Concerns:

• Negative Net Assets and Working Capital Deficit: Fixed assets of £545,072 are outweighed by current liabilities (£546,312), with virtually no current assets (£100), indicating poor liquidity and potential difficulty meeting immediate liabilities.
• Reliance on Director and Creditor Support: The going concern note emphasizes dependency on continued support from directors and creditors, indicating potential vulnerability if such support is withdrawn.
• Limited Financial History and Size: Being a micro-entity incorporated recently (2022) with minimal financial disclosures (no profit and loss account included) limits insight into operational performance and sustainability.

3. Positive Indicators:

• Compliance and Filing Status: The company is active and up to date with its statutory filings, including accounts and confirmation statements, reducing regulatory risk.
• No Audit Requirement: As a micro-entity, the company enjoys reduced filing burdens, which may indicate cost control and simplified reporting.
• Experienced Management Team: Multiple directors appointed at incorporation with no adverse records mentioned, potentially indicating stable governance.

4. Due Diligence Notes:

• Investigate the nature and recoverability of fixed assets (£545,072) to assess their liquidity and realizable value in case of financial distress.
• Assess the terms and duration of creditor arrangements and director support underpinning the going concern assumption.
• Obtain or review management accounts and cash flow forecasts to evaluate near-term liquidity and operational viability.
• Explore any contingent liabilities or off-balance sheet commitments that could exacerbate financial strain.
• Monitor for any changes in director status or company filings that might signal emerging governance or compliance issues.