MGM BUSINESS SERVICES LTD

Executive Summary

MGM BUSINESS SERVICES LTD is a small, micro-entity with straightforward financials showing positive net assets and no liabilities, indicating low solvency risk. However, the company’s very limited scale and minimal disclosures warrant further investigation into operational sustainability and revenue stability. Compliance with filing deadlines is a positive sign of governance discipline.

MGM BUSINESS SERVICES LTD - Analysis Report

Company Number: 13165315

Analysis Date: 2025-07-29 14:13 UTC

1. Risk Rating: LOW
   MGM BUSINESS SERVICES LTD exhibits a low risk profile based on the limited financial data available. The company is solvent with positive net assets and no current liabilities, indicative of a stable short-term financial position. It has complied with filing requirements and remains active.

2. Key Concerns:

• Minimal scale: As a micro-entity with only one employee and nominal share capital (£1), the company operates at a very small scale, which may limit operational resilience and growth potential.
• Reliance on director: The sole director, who also appears to be the only employee, suggests concentration risk in management and operations.
• Limited financial disclosure: The accounts provide minimal insight into revenue streams, profitability, or cash flows, restricting a full assessment of operational sustainability.

3. Positive Indicators:

• Positive net assets (£1,000) and no current liabilities as of the last financial year-end, indicating the company can meet its short-term obligations.
• Compliance with statutory filing deadlines for both accounts and confirmation statements, reflecting good regulatory discipline.
• The company has shown asset growth over two years, with fixed assets increasing from £500 to £1,500, which may suggest investment in operational capacity.

4. Due Diligence Notes:

• Verify the nature and stability of the company’s revenue and profit generation, as these are not disclosed in the micro-entity accounts.
• Investigate the business model and customer base to assess sustainability and growth prospects given the small size and single-person operation.
• Confirm the director’s role and capacity to manage the company effectively, including any related-party transactions or dependencies.
• Review any contingent liabilities or off-balance-sheet risks not captured in the micro-entity accounts.
• Assess any external credit or supplier relationships to understand liquidity and operational dependencies better.