MC IMMERSIVE LTD

Executive Summary

MC IMMERSIVE LTD faces significant financial distress characterized by a substantial negative net asset position and severe liquidity constraints. While regulatory compliance is maintained, the company’s operational scale and sustainability are questionable given the absence of employees and limited assets. Further inquiry into the composition of liabilities and the company’s business strategy is essential to assess its recovery prospects.

MC IMMERSIVE LTD - Analysis Report

Company Number: 12682487

Analysis Date: 2025-07-29 20:06 UTC

1. Risk Rating: HIGH
   The company exhibits a significant negative net asset position that has deteriorated year-on-year, with net liabilities increasing from approximately £118k in 2023 to £168k in 2024. This indicates solvency concerns as total liabilities exceed total assets substantially. The absence of employees and minimal current assets relative to current liabilities suggest weak liquidity and operational scale.

2. Key Concerns:

• Solvency Risk: Persistent and growing negative net assets imply the company is unable to cover its liabilities from available assets, raising concerns about its ability to meet obligations.
• Liquidity Concerns: Current liabilities (£183k) vastly outweigh current assets (£2.7k), resulting in a net current liability position of around £180k, indicating potential cash flow difficulties.
• Operational Sustainability: The company has no employees reported and negligible asset base, which questions the ongoing business activity and capacity to generate revenue or turn around financial performance.

3. Positive Indicators:

• The company is up to date with statutory filings, including accounts and confirmation statements, indicating compliance with regulatory requirements.
• Directors’ report confirms the accounts are prepared under the micro-entity regime, consistent with the company’s size and filing category.
• The company has maintained a stable level of fixed assets (around £12k), showing some investment in long-term resources.

4. Due Diligence Notes:

• Investigate the nature and terms of the current liabilities, particularly the large creditor balances, to assess risk of enforcement or debt restructuring.
• Clarify the company’s business model and revenue streams given the absence of employees and the SIC code "Other service activities not elsewhere classified," to evaluate operational viability.
• Review any director or shareholder loans not reflected in the balance sheet and assess their impact on solvency and liquidity.
• Confirm whether the directors have plans or arrangements for capital injection or restructuring to address the negative net asset position.
• Check for any related party transactions or contingent liabilities that could further impact financial stability.