Company Number: 13667466

Analysis Date: 2025-07-20 11:54 UTC

1. Risk Rating: LOW
   Mark Matcham Design Ltd exhibits solid financial footing for a micro-entity, with positive net current assets and net assets increasing substantially year-on-year. There are no overdue filings, no indications of insolvency or liquidation, and the company maintains its active status in compliance with regulatory requirements.

2. Key Concerns:

• Reliance on a single controlling shareholder and director (Mr. Mark Matcham), which may pose governance and succession risks.
• Relatively low fixed asset base and limited employee count (2 average employees), which may constrain operational scalability and resilience.
• Absence of a profit and loss account filing limits visibility into profitability trends and cash flow dynamics.

3. Positive Indicators:

• Strong net current assets of £101,548 as of October 2024, indicating good short-term liquidity and ability to meet liabilities.
• Consistent growth in net assets from £36,840 in 2021 to £125,591 in 2024, reflecting retained earnings or capital injections.
• Timely filing of accounts and confirmation statements without any overdue issues, demonstrating good compliance and governance discipline.
• The company operates within a specialized design sector (SIC 74100), which may offer niche market opportunities.

4. Due Diligence Notes:

• Review underlying profitability and cash flow from operations, as the absence of profit and loss data limits assessment of operational sustainability.
• Investigate the nature of current liabilities and any contingent liabilities or off-balance sheet obligations.
• Assess dependency on key personnel, especially given the director’s dual role and significant control, to gauge business continuity risks.
• Confirm any related party transactions or capital contributions that have impacted net assets growth.
• Verify the company's client base and order pipeline to better understand revenue stability and growth prospects.