Company Number: 14120558

Analysis Date: 2025-07-29 14:42 UTC

1. Risk Rating: LOW
   Mindgard Ltd demonstrates strong financial health with significant net current assets and shareholders funds as of the latest accounts date. There are no overdue filings, and the company is actively operating in a growth sector. Although relatively new, the financial position as of 31 December 2023 suggests low solvency and liquidity risk.

2. Key Concerns:

• Limited financial history due to recent incorporation in 2022 limits trend analysis and long-term operational assessment.
• The company has a very small amount of issued share capital (£3) which is not unusual but worth noting from an equity buffer perspective.
• Director appointments show some turnover and new appointments after the accounting date which warrants monitoring governance stability.

3. Positive Indicators:

• Strong liquidity position with cash holdings of approximately £2.36 million against current liabilities of £34k, yielding robust net current assets of over £2.37 million.
• Shareholders funds of £3.06 million indicate positive equity and capital support.
• No overdue accounts or confirmation statement filings reflect good regulatory compliance and governance.
• Operating in the IT services sector with a focus on AI security—a growth market segment.
• Small number of employees (5) suggest lean operations with manageable payroll obligations.

4. Due Diligence Notes:

• Review detailed revenue and profit data when available to assess operational sustainability and profitability since current accounts do not include an income statement.
• Investigate the nature of the significant cash reserves: source of funds, liquidity restrictions, and planned use.
• Clarify the reason for director changes and the role of the corporate director to evaluate governance and control environment.
• Confirm ongoing contracts and pipeline to understand future cash flows and business viability.
• Assess any related party transactions or financial guarantees given the presence of PSCs with significant voting rights.