MSMH DIGITAL AND TECH SOLUTIONS LTD
Executive Summary
MSMH Digital and Tech Solutions Ltd is a newly incorporated private company with minimal financial resources and no recorded trading activity to date. While compliant with filing requirements, the company presents high solvency and liquidity risks given its negligible cash and net assets. Further investigation into its operational plans and management structure is advised before considering investment.
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This analysis is opinion only and should not be interpreted as financial advice.
MSMH DIGITAL AND TECH SOLUTIONS LTD - Analysis Report
Risk Rating: HIGH
Given the extremely limited financial resources (cash of £100) and minimal net assets (£100), the company faces significant solvency and liquidity risks. The absence of turnover or profit data suggests the business is either in its infancy or inactive operationally, raising concerns about sustainability.Key Concerns:
- Minimal Financial Resources: Cash and net current assets stand at only £100, which is insufficient to cover typical operating expenses or liabilities.
- No Revenue or Profitability Data: The accounts provide no indication of trading activity, revenue generation, or profitability for the period, indicating potential operational inactivity or early-stage development.
- Single Director Control: The company is effectively controlled by one individual (Mr. Ayodeji James Ibitoye) with 75-100% shares and voting rights, which may pose governance risks if not balanced by other oversight mechanisms.
- Positive Indicators:
- Compliance With Filings: The company has filed accounts and confirmation statements on time with no overdue filings, demonstrating regulatory compliance to date.
- Clear Accounting Policies: The accounts follow FRS 102 Small Entities standards and are prepared under historical cost convention, indicating adherence to standard accounting practice.
- No Signs of Insolvency Proceedings: The company is active and not under liquidation, administration, or other distress processes.
- Due Diligence Notes:
- Investigate current trading status and revenue generation plans to assess operational viability.
- Review cash flow forecasts and funding plans to determine how the company intends to finance ongoing operations.
- Assess the background and experience of the controlling director to understand management capability and governance arrangements.
- Verify whether the company has any contingent liabilities or off-balance sheet obligations.
- Monitor future filings for signs of financial improvement or deterioration.
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