MKC WEALTH EBT LIMITED

Executive Summary

MKC Wealth EBT Limited is currently a non-trading entity with significant net liabilities and negative working capital, relying heavily on intercompany balances and parent company support to maintain solvency. While compliance and governance appear satisfactory, the company’s financial position presents a high risk from a standalone perspective. Further due diligence on group support arrangements and intercompany dealings is recommended to fully understand its financial stability and operational outlook.

MKC WEALTH EBT LIMITED - Analysis Report

Company Number: 13884675

Analysis Date: 2025-07-29 20:34 UTC

1. Risk Rating: HIGH
   The company is showing significant net liabilities (£2,079) with current liabilities far exceeding current assets, indicating a weak financial position and solvency concerns. The nature as a non-trading company and reliance on group undertakings for creditor and debtor balances further heightens risk.

2. Key Concerns:

• Negative Net Assets and Working Capital: The company has net liabilities of approximately £2,079 and net current liabilities exceeding £2,100, suggesting inability to meet short-term obligations from current assets.
• Dependence on Group Undertakings: Debtors and creditors mainly relate to group undertakings (£25 owed by group companies vs. £2,106 owed to group companies), indicating the company’s financial health is closely tied to related entities rather than independent operations.
• No Trading Activity and Minimal Asset Base: Classified under SIC code 74990 (Non-trading company), with negligible fixed assets (£26) and no reported income or operational cash flow, raising concerns about sustainability as an operational entity.

3. Positive Indicators:

• Active Status and Compliance: The company is active with no overdue accounts or confirmation statement filings, demonstrating regulatory compliance and good governance practices in terms of statutory obligations.
• Parent Company Support and Going Concern Statement: The directors acknowledge going concern status based on continuing parent company support (Riviera Group Holdco Limited), mitigating immediate insolvency risk.
• Experienced Management and Control: The presence of multiple directors with relevant professional backgrounds and a controlling party with majority shareholding and voting rights suggests clear governance and control structures.

4. Due Diligence Notes:

• Confirm the nature and terms of support provided by the parent company to assess the sustainability of the going concern assumption.
• Investigate the intercompany balances and related party agreements to understand the financial flows and obligations between MKC Wealth EBT Limited and its group undertakings.
• Review any contingent liabilities or off-balance sheet commitments that could impact financial stability.
• Assess the strategic rationale for maintaining a non-trading company with net liabilities and minimal assets to understand future operational plans or restructuring intentions.