Company Number: 13646062

Analysis Date: 2025-07-20 15:38 UTC

1. Risk Rating: MEDIUM
   The company shows modest net current assets and net assets, but a notable decline in cash reserves year-on-year and a reduction in net assets since 2023 indicate some financial strain. The absence of employees and low operational scale also raise concerns about sustainability.

2. Key Concerns:

• Declining cash position: Cash dropped from £2,967 in 2023 to zero in 2024, which may signal liquidity issues or potentially unusual cash flow timing.
• Shrinking net assets: Net assets reduced from £3,425 in 2023 to £1,649 in 2024, indicating diminished financial strength.
• No employees reported in 2024: The company reported zero employees for the latest year, which might impact its operational capacity and revenue-generating ability.

3. Positive Indicators:

• Positive net current assets: Despite declines, net current assets remain positive at £1,649, implying the company can currently meet short-term liabilities.
• No overdue filings: Both accounts and confirmation statements are up to date, reflecting good regulatory compliance and governance.
• Single controlling shareholder with clear governance: The sole director and 100% shareholder provides clarity and centralized control, reducing governance risk.

4. Due Diligence Notes:

• Verify the reason for the complete depletion of cash balances in 2024 and assess the company’s cash flow cycle and working capital management.
• Investigate the cause of the significant drop in net assets between 2023 and 2024, including any unusual expenses or write-downs.
• Clarify the operational model given no employees are listed in 2024 and whether the company relies on contractors, outsourcing, or is in a dormant-like state.
• Review turnover and profit & loss details (not provided here) to better understand revenue trends and profitability.
• Confirm the scope of the Total Exemption Full accounts and ensure no material information is omitted due to small company reporting exemptions.