Company Number: 13441085

Analysis Date: 2025-07-29 17:09 UTC

1. Risk Rating: HIGH
   The company exhibits significant solvency and liquidity risks as evidenced by persistent and growing negative net assets and net current liabilities over multiple years. The accumulated losses indicate ongoing financial distress.

2. Key Concerns:

• Severe Negative Net Assets and Working Capital Deficit: The company’s net assets deteriorated from -£12,091 in 2021 to -£61,814 in 2024, with net current liabilities increasing substantially to £76,587 in 2024, indicating inability to cover short-term obligations.
• Consistent Negative Equity: Shareholders’ funds are deeply negative and worsening year on year, reflecting accumulated losses and potential erosion of capital base.
• Limited Share Capital and Small Scale: With only £2 in share capital and micro-entity accounting, financial buffers are minimal, increasing vulnerability to operational or market shocks.

3. Positive Indicators:

• Timely Compliance: The company is current with both accounts and confirmation statement filings, showing adherence to statutory requirements.
• Stable Ownership and Management: The major shareholder (Mr. Bradley Casson) retains control with no indication of director disqualifications or governance red flags.
• Employment Growth: Average headcount increased from 3 to 5 in the latest year, suggesting some operational scaling.

4. Due Diligence Notes:

• Investigate underlying causes of the consistent and increasing losses, focusing on revenue, cost structure, and cash flow statements if available.
• Review management plans for turnaround or recapitalization given the severe liquidity shortfall.
• Assess creditor relationships and risk of enforcement actions due to large current liabilities.
• Evaluate market conditions for the public house/bar sector locally to understand external pressures.
• Confirm there are no contingent liabilities or off-balance sheet risks not disclosed in the micro-entity accounts.