MY KEY LTD

Executive Summary

MY KEY LTD demonstrates significant solvency and liquidity risks, evidenced by prolonged negative net assets and heavy current liabilities relative to minimal liquid assets. While regulatory compliance and director stability are positive factors, the financial structure suggests potential challenges in meeting obligations without asset disposals or capital injections. Further investigation into cash flows and liability details is recommended before investment consideration.

MY KEY LTD - Analysis Report

Company Number: 12683619

Analysis Date: 2025-07-29 20:16 UTC

1. Risk Rating: HIGH
   Justification: The company exhibits persistent and significant negative net assets and net current liabilities well exceeding current assets, indicating solvency concerns. The financials show increasing short-term liabilities relative to assets, raising liquidity risks.

2. Key Concerns:

• Negative net assets for multiple years (e.g., £-43,285 in 2024) suggesting insolvency on a balance sheet basis.
• Large net current liabilities (£-1.55 million in 2024) compared to minimal current assets (£978), signaling poor liquidity and potential cash flow difficulties.
• Reliance on fixed assets (real estate) with limited liquid resources, potentially restricting operational flexibility and ability to meet short-term obligations.

3. Positive Indicators:

• No overdue filings; accounts and confirmation statements are up to date, demonstrating regulatory compliance and governance discipline.
• Stable director presence with no indications of disqualifications or governance issues.
• The company operates in real estate management and trading, a potentially valuable asset sector if managed prudently.

4. Due Diligence Notes:

• Investigate the nature of the large current liabilities: their composition, maturity profile, and creditor relationships.
• Assess cash flow statements and income statements (not provided) to understand operational profitability and cash generation capacity.
• Review any contingent liabilities or off-balance-sheet obligations that may exacerbate financial risk.
• Clarify the valuation and liquidity of fixed assets, and whether these are encumbered by debt or available for sale.
• Confirm the absence of any director conduct or legal issues beyond the limited data presented.