Company Number: 14634022

Analysis Date: 2025-07-29 18:11 UTC

1. Risk Rating: LOW
   The financial data indicates a positive net asset position with net current assets of £3,738 and net assets of £9,961 for a newly incorporated micro-entity. The company is current on all statutory filings and shows no signs of distress or insolvency.

2. Key Concerns:

• Very limited financial history due to recent incorporation in 2023, making trend analysis and long-term sustainability assessment difficult.
• Small scale of operations reflected by micro-entity status and low asset base, which may limit operational resilience against market fluctuations.
• Accruals and deferred income almost equal to net current assets (£3,720 vs £3,738), potentially indicating timing differences in revenue recognition or liabilities that require monitoring.

3. Positive Indicators:

• Positive net current assets and net asset position suggest the company can meet its short-term obligations.
• No overdue accounts or confirmation statements, indicating compliance with regulatory requirements.
• Ownership and control are consolidated under a single director and shareholder, simplifying governance and decision-making.

4. Due Diligence Notes:

• Investigate the nature of accruals and deferred income to assess cash flow timing risks.
• Review business plan and cash flow forecasts to understand growth potential and operational sustainability given the small scale and recent start.
• Confirm any off-balance-sheet liabilities or contingent obligations not reflected in the micro-entity filings.
• Consider market conditions in the hairdressing and beauty treatment sector (SIC 96020) relevant to the company’s locality and competition.