MI-KEY LOCKSMITHS LIMITED

Executive Summary

Mi-Key Locksmiths Limited is a micro-entity operating in equipment repair with a stable financial footing and timely compliance. The company’s improving net asset position and sufficient working capital reduce immediate solvency risks. However, its small scale and single-person control warrant further review of cash flows and operational resilience before larger investment commitments.

MI-KEY LOCKSMITHS LIMITED - Analysis Report

Company Number: 13883998

Analysis Date: 2025-07-29 17:16 UTC

1. Risk Rating: LOW
   The company shows a positive net asset position that has significantly improved over the last two years. It is current with all statutory filings and has a simple ownership and management structure, indicating low immediate risk.

2. Key Concerns:

• Limited Scale and Resources: As a micro-entity with only one employee (the director), the business may face operational constraints and limited capacity to manage growth or unexpected expenses.
• Dependence on a Single Director/Shareholder: Mr. Michael Freed holds full ownership and control, which could pose succession or governance risks if unforeseen issues arise with this individual.
• Limited Financial Disclosure: Being a micro-entity, the company files minimal financial information, restricting detailed assessment of profitability, cash flow stability, and longer-term sustainability.

3. Positive Indicators:

• Improved Financial Position: Net assets increased from £4,022 in 2023 to £28,118 in 2024, showing a strengthening balance sheet.
• Adequate Working Capital: Current assets exceed current liabilities with net current assets of approximately £29k in 2024, suggesting the company can meet short-term obligations.
• Compliance: All accounts and confirmation statements are filed on time; no overdue filings or regulatory flags. The company is active and not under any insolvency procedure.
• Clear Control and Governance: The sole director and 100% owner is identified and has no reported disqualifications or governance issues.

4. Due Diligence Notes:

• Confirm the nature of the increase in net assets—whether from retained earnings, capital injection, or other sources.
• Review cash flow patterns, especially given limited disclosure, to assess liquidity beyond year-end snapshots.
• Understand business model and revenue stability given the micro scale and single employee operation.
• Verify any off-balance sheet liabilities or contingent risks not visible in micro-entity filings.
• Assess customer base and contract stability to gauge operational sustainability.