Company Number: 13244109

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

1. Risk Rating: MEDIUM
   The company shows a decline in net assets over recent years and minimal share capital, indicating potential capital weakness. However, current liabilities remain well covered by current assets, and there are no overdue filings or signs of insolvency.

2. Key Concerns:

• Declining Net Assets: Net assets decreased from £57,904 in 2021 to £35,262 in 2024, a drop of nearly 40%, which may signal erosion of financial strength or accumulated losses.
• No Employees and Small Scale: The company reported zero employees in the latest year, which could indicate a dormant or minimal operational status, raising questions about business sustainability.
• Limited Financial Disclosure: As a micro-entity, the company files minimal accounts without a profit and loss statement, limiting transparency on profitability and cash flow dynamics.

3. Positive Indicators:

• Solvent Position: Positive net current assets and net assets indicate the company is solvent and able to meet short-term obligations.
• Up-to-date Compliance: All accounts and confirmation statements are filed on time, suggesting good regulatory compliance and governance.
• Stable Director Structure: Directors have been consistent since incorporation with no reported disqualifications or governance issues.

4. Due Diligence Notes:

• Investigate the cause of declining net assets and whether this reflects operational losses, asset write-downs, or owner withdrawals.
• Request management accounts or internal financial reports to assess profitability and cash flow, given absence of profit and loss disclosures.
• Clarify business model and activity level given zero employees and relatively low current asset balances. Confirm if the company is actively trading or holding investments.
• Verify any related party transactions or loans that might not be evident in micro-entity filings.