Company Number: 14850798

Analysis Date: 2025-07-29 17:51 UTC

1. Risk Rating: HIGH
   Justification: The company is newly incorporated (May 2023) and classified as a micro-entity with minimal financial data. The balance sheet shows nominal net assets of £1, indicating no substantive capital or operational base. There are no reported revenues, profits, or tangible assets suggesting operational activity or financial stability.

2. Key Concerns:

• Insufficient Capitalization: Shareholders’ funds and net assets stand at only £1, indicating minimal financial resources to support operations or absorb losses.
• Lack of Financial Activity: No turnover or detailed financial information beyond the minimal balance sheet data is available, raising concerns about whether the business is operational or generating cash flow.
• Single Director and Shareholder Concentration: Control is entirely vested in one individual (Derel Mitchell), which may pose governance risks and limits external oversight.

3. Positive Indicators:

• Compliance with Filings: The company has filed its micro-entity accounts and confirmation statement on time, indicating adherence to statutory obligations.
• Clear Control and Management: The director’s details are transparent and consistent; no red flags such as disqualifications or multiple directorships are evident from the data provided.
• Defined Industry Focus: The SIC code 42110 (construction of roads and motorways) suggests a specific business activity that can be further explored for market potential.

4. Due Diligence Notes:

• Investigate the company’s cash flow and revenue generation since incorporation to assess operational viability.
• Request management accounts or bank statements to confirm the financial activity and liquidity position beyond the statutory filings.
• Review the background and financial capacity of the sole director/shareholder to evaluate the ability to fund or sustain the business.
• Confirm whether any contracts, assets, or liabilities exist that are not reflected in the minimal accounts.