Company Number: 14862885

Analysis Date: 2025-07-20 17:49 UTC

1. Risk Rating: HIGH
   The company exhibits a high risk profile primarily due to significant negative working capital and a large proportion of liabilities relative to assets in its first year of operation, which raises solvency and liquidity concerns.

2. Key Concerns:

• Negative Net Current Assets: Current liabilities (£461,148) substantially exceed current assets (£41,701), resulting in a net current liability of £419,447. This indicates potential liquidity pressure to meet short-term obligations.
• Heavy Borrowing Load: The company carries long-term bank loans of £492,187 against net assets of only £127,179, suggesting high leverage and exposure to refinancing or interest rate risk.
• Limited Operating History & Employee Base: Incorporated in May 2023 with no employees reported, the company’s operational track record is minimal, making sustainability and revenue generation uncertain.

3. Positive Indicators:

• Fair Value Investment Property Asset: The company holds investment properties valued at about £1.09 million, which could form a solid asset base and potential income source.
• Compliance with Filing Requirements: Accounts and confirmation statements are filed on time, indicating good regulatory compliance and governance in terms of statutory obligations.
• Sole Shareholder Control: Mr. Chaim Tishler holds 100% ownership and voting rights, which may allow for agile decision-making and clear accountability.

4. Due Diligence Notes:

• Verify the nature and terms of the bank loans including interest rates, covenants, and repayment schedules to assess refinancing risk.
• Investigate the source and sustainability of cash flows, especially given negative working capital and absence of employees.
• Review tenancy agreements or income-generating potential of the investment properties to understand revenue certainty.
• Confirm reasonableness of investment property valuations and the methodology applied (noting fair value changes recognized in P&L).
• Assess plans for capital raising or operational scaling given minimal equity and working capital deficits.