Company Number: 12684313

Analysis Date: 2025-07-29 14:26 UTC

1. Risk Rating: HIGH
   Justification: The company has reported negative net assets for the last two years, indicating liabilities exceed assets. Current liabilities are significantly higher than current assets, suggesting liquidity stress. The absence of employees and minimal share capital further point to operational fragility.

2. Key Concerns:

• Negative net assets of £17,515 in 2022 and £21,886 in 2021 indicate solvency concerns.
• Current liabilities (£53,031 in 2022) exceed current assets (£34,516), implying potential cash flow difficulties.
• Frequent director turnover in 2024 and 2025 might signal governance instability or internal challenges.

3. Positive Indicators:

• The company remains active with no overdue filings or accounts, indicating compliance with regulatory deadlines.
• Ownership by Pilon Construction Group Limited with 75-100% control could provide financial backing or strategic support.
• The company operates within IT consultancy and software development sectors, which have growth potential if operational issues are addressed.

4. Due Diligence Notes:

• Investigate the nature and maturity profile of current liabilities to assess immediate payment obligations.
• Review cash flow statements and recent trading performance to verify liquidity position beyond balance sheet figures.
• Clarify reasons for multiple director appointments and resignations in late 2024 and early 2025 to understand governance or operational risks.
• Confirm the extent of financial or operational support from the controlling shareholder Pilon Construction Group Limited.
• Confirm whether the negative net asset position has been addressed or if there are plans for capital injection or restructuring.