Company Number: 13549342

Analysis Date: 2025-07-20 13:58 UTC

1. Risk Rating: MEDIUM
   The company shows a stable equity base relative to its fixed assets, but persistent negative net current assets indicate potential liquidity constraints. The absence of overdue filings is positive, yet ongoing working capital deficits warrant cautious monitoring.

2. Key Concerns:

• Negative Net Current Assets: Consistently around £9,000 in deficit over the last three years, suggesting the company's short-term liabilities exceed its current assets, risking cash flow issues.
• Limited Current Assets: Very low current assets (£1,438 in 2023) relative to creditors (£10,450) may challenge the company's ability to meet immediate obligations without external financing.
• Lack of Revenue or Profit Data: The accounts are micro-entity filings with limited disclosures and no profit and loss information, making it difficult to assess operational performance or sustainability.

3. Positive Indicators:

• Stable Shareholders’ Funds: Equity has remained steady around £25,000, indicating no erosion of capital and potential backing from the directors/shareholders.
• Compliance with Filing Requirements: No overdue accounts or confirmation statements, reflecting good regulatory compliance and governance discipline.
• Experienced Directors and Control: The company is controlled by two directors with direct ownership and voting rights, potentially allowing for swift decision-making.

4. Due Diligence Notes:

• Investigate the nature of the fixed assets (£35,000) to assess their liquidity and realizable value in distress scenarios.
• Obtain management accounts or cash flow statements to evaluate operational cash generation and working capital management.
• Clarify the company's business model and revenue streams given the holding company SIC code and the absence of detailed financial disclosures.
• Review any related party transactions or intercompany balances that might affect liquidity.
• Confirm no director disqualifications or regulatory issues beyond the information provided.