LOKI ACQUISITIONS LIMITED

Executive Summary

LOKI ACQUISITIONS LIMITED, a micro-entity holding company incorporated in 2023, presents high risk due to negative net liabilities and limited liquidity. While compliant with filing obligations and operationally active, the balance sheet indicates solvency concerns and a need for further scrutiny of its capital structure and business viability. Additional financial and operational information is essential to assess sustainability and risk exposure accurately.

LOKI ACQUISITIONS LIMITED - Analysis Report

Company Number: 14631857

Analysis Date: 2025-07-20 15:40 UTC

1. Risk Rating: HIGH
   The company shows significant negative net liabilities and limited liquidity, indicating a high risk in solvency and financial stability.

2. Key Concerns:

• Negative net liabilities: The balance sheet shows net liabilities of £507, reflecting shareholder funds and reserves below zero, which is a clear solvency red flag.
• High long-term creditors equal to fixed assets: Creditors due after one year (£508,475) match the fixed assets, suggesting leveraged asset financing with limited short-term liquidity.
• Minimal current assets and negative net current assets: Current assets are only £140 against current liabilities of £190, resulting in a small but negative working capital position, which signals potential short-term liquidity issues.

3. Positive Indicators:

• Company status is active with no overdue filings, indicating compliance with statutory requirements.
• Directors are in place with no noted disqualifications or governance issues.
• The company is newly incorporated (February 2023), so financials may still reflect initial investment and setup phase rather than established operational performance.

4. Due Diligence Notes:

• Investigate the nature and terms of the long-term creditors equal to fixed assets to understand the financing structure and repayment obligations.
• Obtain detailed management accounts or cash flow forecasts to assess ongoing liquidity and operational cash generation.
• Clarify the company’s business model and revenue prospects given the lack of employees and minimal current assets, to evaluate operational sustainability.
• Confirm whether the negative net liabilities arise from initial start-up funding arrangements or if there are underlying losses or accounting adjustments.
• Review director backgrounds and any related party transactions given the limited financial footprint.