Company Number: 13787229

Analysis Date: 2025-07-29 19:38 UTC

1. Risk Rating: LOW
   Justification: The company demonstrates a positive net current asset position that has grown year-on-year, no overdue filings, and a stable governance structure. The micro-entity classification suggests a small-scale operation with limited complexity, reducing exposure to large-scale financial distress.

2. Key Concerns:

• Limited scale and single employee: The company operates with just one employee, which may constrain operational capacity and scalability.
• Concentrated control: Two individuals hold significant control, each with 25-50% shares and voting rights, which may raise risk if key personnel become unavailable.
• Lack of detailed financial disclosures: As a micro-entity, limited financial information is available, restricting deeper financial risk assessment such as profitability, cash flows, or debt structure.

3. Positive Indicators:

• Strong liquidity position: Net current assets increased from £50,188 in 2022 to £83,059 in 2023, indicating good short-term financial health and ability to meet liabilities.
• Timely compliance: No overdue accounts or confirmation statements, reflecting good regulatory compliance and governance.
• Consistent reporting and director involvement: The director who is also a PSC actively signs off on accounts, showing engaged management.

4. Due Diligence Notes:

• Verify cash flow trends and profitability beyond the balance sheet figures, as micro-entity accounts do not provide a full P&L breakdown.
• Investigate the nature of current assets to assess their liquidity quality (e.g., cash vs. receivables).
• Consider potential dependency risks related to the small number of employees and concentrated ownership/control.
• Review any related party transactions or off-balance sheet liabilities not disclosed in micro-entity accounts.
• Confirm that no director disqualifications or legal proceedings are pending that could impact operational stability.