Company Number: 14460681

Analysis Date: 2025-07-29 17:40 UTC

1. Risk Rating: HIGH
   The company exhibits a significant deterioration in financial position over the last financial year, with net liabilities of £16,903 as of 30 November 2024, compared to net assets of £1,366 the prior year. Negative net current assets of £27,102 indicate immediate liquidity concerns and potential inability to meet short-term obligations.

2. Key Concerns:

• Solvency Issues: The transition from positive net assets to net liabilities within a year is a red flag, implying the company’s liabilities now exceed its assets, raising doubts about long-term viability.
• Liquidity Pressure: Current liabilities exceed current assets by a substantial margin, indicating potential cash flow constraints and difficulties in servicing short-term debts.
• Operational Sustainability: The company’s financials suggest ongoing losses or cash burn, with no indication of profitability or cash inflows sufficient to reverse the net liability position. The micro-entity status limits transparency, and absence of a profit and loss account filed restricts further insight.

3. Positive Indicators:

• No Overdue Filings: The company is current on both accounts and confirmation statement filings, demonstrating compliance with statutory requirements.
• Stable Management and Ownership: Directors and significant controllers appear consistent since incorporation with no reported disqualifications or governance issues.
• Niche Service Offering: The company operates in specialist limited company closure services, potentially maintaining demand in a defined market.

4. Due Diligence Notes:

• Profit and Loss Analysis: Seek detailed management accounts or internal reports to understand the drivers behind the negative net assets and whether losses are operational or due to extraordinary expenses.
• Cash Flow Projections: Review short-term cash flow forecasts to assess the company’s ability to meet liabilities and avoid insolvency risks.
• Creditor Terms and Debt Structure: Investigate the nature and terms of current liabilities to determine urgency of repayments and potential for restructuring.
• Business Model Viability: Evaluate client base, contracts, and market position to confirm ongoing revenue streams and operational sustainability.
• Director and PSC Background Checks: Although no disqualifications are evident, a prudent review of director conduct records is advised given the financial position.