NEW SHELL LTD

Executive Summary

NEW SHELL LTD exhibits significant solvency and liquidity concerns, with persistent negative net assets and working capital deficits despite slight improvement in the latest year. While statutory compliance is maintained, the company’s minimal capital base and ongoing losses pose risks to operational stability. Further investigation into liabilities and recovery strategies is recommended before considering investment.

NEW SHELL LTD - Analysis Report

Company Number: 12665539

Analysis Date: 2025-07-29 17:51 UTC

1. Risk Rating: HIGH
   The company shows persistent net liabilities with negative net assets and consistently negative working capital over multiple years. The micro-entity size and minimal share capital (£1) further indicate limited financial buffer, raising concerns about solvency and liquidity.

2. Key Concerns:

• Negative net assets and net current liabilities have persisted from incorporation through the latest financial year, indicating ongoing solvency risk.
• Current liabilities remain constant at £4,205 while current assets have only marginally improved, resulting in negative working capital (£-523) as of 2024-06-30.
• The company operates with only one employee and minimal share capital, limiting operational scale and financial resilience.

3. Positive Indicators:

• Accounts and confirmation statements are filed on time, showing compliance with statutory filing requirements.
• The negative net liabilities position improved from £-4,041 (2023) to £-673 (2024), suggesting some reduction in losses or liabilities.
• The company’s sole director and 100% shareholder appears engaged and active, with no records of disqualification or regulatory issues.

4. Due Diligence Notes:

• Investigate the nature of the liabilities and whether creditors are secured or unsecured, as well as payment terms and history.
• Assess the company’s business model and cash flow projections to determine if the operational losses are expected to continue or if recovery plans exist.
• Verify if there are any contingent liabilities or off-balance sheet obligations not reflected in the accounts.
• Consider the director’s plans for recapitalisation or external funding to improve solvency.