Company Number: 14193282

Analysis Date: 2025-07-29 16:42 UTC

1. Risk Rating: HIGH
   The company exhibits a negative net asset position with liabilities exceeding assets, indicating insolvency on a balance sheet basis. The current liabilities surpass current assets, and the company has minimal working capital, heightening solvency and liquidity risk.

2. Key Concerns:

• Negative Net Assets: As of 30 June 2024, the company shows net liabilities of £1,564, reflecting financial distress and potential inability to meet obligations.
• Liquidity Deficit: Current liabilities (£2,511) exceed current assets (£947), suggesting cash flow constraints and potential difficulty in covering short-term debts.
• Limited Operating Scale: Micro-entity status with only one employee and no fixed assets may reflect limited business operations and lack of resource base to sustain growth or absorb shocks.

3. Positive Indicators:

• No Overdue Filings: Accounts and confirmation statements are up to date, indicating compliance with statutory requirements.
• Active Status: Company is currently active and not in liquidation or administration, suggesting ongoing business activity.
• Recent Director Appointment: Appointment of a new director in January 2025 may bring fresh management perspective.

4. Due Diligence Notes:

• Investigate the nature and terms of the liabilities, including whether any creditor arrangements or payment plans exist.
• Review cash flow statements and bank balances for liquidity assessment beyond balance sheet snapshots.
• Understand business model viability given minimal assets and employee count, including revenue streams and client contracts.
• Examine director backgrounds and governance practices, considering director changes within a short period.
• Confirm if any contingent liabilities or off-balance sheet obligations exist.