Company Number: 14431496

Analysis Date: 2025-07-29 13:15 UTC

1. Risk Rating: HIGH
   The company exhibits a negative net current asset position that has worsened from -£160 to -£362 within two years, indicating an inability to cover short-term liabilities. Shareholders' funds are also negative and deteriorating, reflecting cumulative losses or undercapitalization. The absence of employees and minimal asset base further signal operational infancy and fragility.

2. Key Concerns:

• Negative Working Capital: Current liabilities exceed current assets, implying liquidity stress and potential difficulty meeting short-term obligations.
• Deteriorating Financial Position: Worsening negative net assets and shareholders’ funds raise solvency doubts.
• No Operational Scale: Zero employees and minimal asset base suggest the company may not yet be operationally sustainable or generating revenue.

3. Positive Indicators:

• Timely Compliance: The company has filed accounts and confirmation statements on time, showing regulatory adherence with no overdue filings.
• Active Status: The company remains active and not in liquidation or administration, which indicates no immediate formal insolvency proceedings.
• Clear Ownership Structure: Two named directors with significant control provide transparency on governance.

4. Due Diligence Notes:

• Cash Flow Details: Investigate the cash flow situation and any planned capital injections to address negative working capital.
• Business Model and Revenue: Clarify the current operational status, contracts, or revenue streams given the lack of employees and negative equity.
• Director Backgrounds and Intentions: Review plans from current director James Caldwell regarding turnaround or funding. Also, note the resignation of the other director in 2023 and its impact.
• Potential Contingent Liabilities: Examine any off-balance sheet obligations or guarantees not reflected in the accounts.
• Future Funding Plans: Assess whether the company has secured or intends to secure financing to improve solvency.