Company Number: 13668023

Analysis Date: 2025-07-19 12:24 UTC

1. Risk Rating: HIGH
   The company shows persistent net liabilities and negative shareholder funds over three years, indicating ongoing financial distress and weak solvency. The micro-entity scale and minimal current assets relative to liabilities raise significant concerns about its ability to meet short-term obligations.

2. Key Concerns:

• Negative Net Assets: The company’s net liabilities have increased from £4,573 (2021) to £5,917 (2023), highlighting deteriorating financial stability and insolvency risk.
• Liquidity Deficit: Current assets (£1 in 2023) are negligible compared to current liabilities (£6,575), resulting in a substantial working capital shortfall of £5,618 and indicating poor liquidity and potential cash flow problems.
• Minimal Operational Scale: With only one employee and very low share capital (£10), the company’s operational capacity and capital base appear insufficient to support sustainable business growth or absorb financial shocks.

3. Positive Indicators:

• No Overdue Filings: The company has met all filing deadlines for accounts and confirmation statements, suggesting compliance with regulatory requirements.
• Stable Ownership and Control: The primary director and significant shareholder (Mr Feilim Eoin Mac Donncha) has maintained control since incorporation, which can signal consistent management oversight.
• Clear Industry Focus: The SIC code 77320 (renting and leasing of construction machinery) defines a specific niche, which if well-managed, can offer growth opportunities in a sector with demand for equipment hire.

4. Due Diligence Notes:

• Investigate the nature and terms of current liabilities to assess creditor risk and any imminent demands for payment.
• Review cash flow statements, if available, for signs of recurring liquidity issues or reliance on director loans or external funding.
• Examine business model viability and customer contracts to understand revenue generation prospects and operational sustainability.
• Verify whether any additional financial support or capital injections are planned or have occurred since the last accounts.
• Assess director’s management plans or strategic initiatives aimed at reversing the negative equity trend.