MARUTI CRAWLEY LTD

Executive Summary

MARUTI CRAWLEY LTD is a recently established private limited company operating in the food service sector. The latest unaudited abridged accounts reveal negative net assets and working capital deficits, alongside a negative cash position, highlighting immediate solvency and liquidity concerns. While the company maintains regulatory compliance and clear governance, further due diligence is required to clarify financial details and assess operational sustainability before investment consideration.

MARUTI CRAWLEY LTD - Analysis Report

Company Number: 14859697

Analysis Date: 2025-07-29 20:21 UTC

1. Risk Rating: HIGH

Justification: The company is newly incorporated (May 2023) with only one financial year filed. The financial statements reveal negative net assets (£1,312 deficit), negative net current assets (£37,989 deficit), and a negative cash position (-£74,657), indicating solvency and liquidity pressures at the reporting date. The small share capital (£100) provides limited equity buffer against operating losses. These factors collectively suggest a high risk of financial distress or inability to meet short-term obligations without additional funding.

2. Key Concerns:

• Negative Net Assets and Working Capital: The company shows a deficit in net assets and net current assets, which is a red flag for solvency and liquidity. Negative working capital implies current liabilities exceed current assets, which may impair the company’s ability to meet short-term debts.
• Negative Cash Position: The reported cash figure is negative (£74,657), indicating either an overdraft or accounting treatment that warrants further clarity. This is a significant liquidity risk for an early-stage business.
• Operating Losses and Limited Equity: The profit and loss account shows a deficit (£1,412), and the share capital is minimal (£100). Combined with employee costs exceeding £102k, the company may be burning cash rapidly without a strong capital base.

3. Positive Indicators:

• Compliance with Filing Requirements: The company is up to date with both accounts and confirmation statement filings, indicating sound regulatory compliance.
• No Audit Required: The company qualifies for audit exemption under small companies rules, which is typical for a company of this size and age.
• Clear Ownership and Management: Directors and Persons with Significant Control are clearly identified, with no indications of disqualifications or governance issues.

4. Due Diligence Notes:

• Clarify Cash Position: Investigate the nature of the negative cash balance—whether it is an overdraft facility, accounting anomaly, or misclassification.
• Review Operating Model and Cash Flow Forecasts: Understand the company’s business plan, revenue generation, and how it plans to address negative working capital and funding needs.
• Assess Related Party Transactions: Given the small capital base and multiple directors/shareholders, examine transactions with related parties to identify potential risks or financial support arrangements.
• Confirm Completeness and Accuracy of Financials: As accounts are unaudited and abridged, verify that key financial data is accurate and consistent through management accounts or third-party verification.
• Evaluate Industry Risks: Operating in "Other food services" and "Take-away food shops" SIC codes, assess market conditions and competitive landscape that might impact operational viability.