Company Number: NI691158

Analysis Date: 2025-07-20 15:19 UTC

1. Risk Rating: HIGH

Justification: Based on the latest financial data for the first 13-month period since incorporation, Northern Grid Services Limited exhibits minimal net assets (£204) and net current assets (£204), with current liabilities nearly equal to current assets (£123,834 liabilities vs. £124,038 assets). The company has no employees and relies on shareholder loans for funding, indicating limited operational scale and potential liquidity constraints. The absence of an audit and profit & loss account filing limits financial transparency. These factors collectively suggest a high risk profile from a solvency and liquidity perspective at this early stage.

2. Key Concerns:

• Minimal Net Assets and Working Capital: Net assets and net current assets are barely positive (£204), leaving negligible buffer to absorb financial shocks or meet obligations comfortably.
• Reliance on Shareholder Loans: Significant short-term liabilities (£123,834) consist mainly of loans from shareholders, which may not be sustainable or indicative of independent operational cash flow.
• Lack of Operational Activity: Zero employees reported and limited financial disclosures (abridged accounts without P&L) raise questions about ongoing business activities and revenue generation capacity.

3. Positive Indicators:

• Compliance with Filing Requirements: No overdue accounts or confirmation statement filings, indicating good regulatory compliance to date.
• Experienced Directors: Both directors are accountants, which may provide financial oversight and governance expertise.
• Active Status with No Insolvency Proceedings: The company is active and not under liquidation, administration, or receivership.

4. Due Diligence Notes:

• Review Detailed Financial Statements When Available: Obtain full accounts including profit & loss and cash flow statements once filed to assess operational performance and cash generation.
• Clarify Terms and Conditions of Shareholder Loans: Evaluate the nature, repayment terms, and security of the loans from Welsh Power Group Limited and Accelerate Energy Holdings Ltd to understand liquidity risks.
• Investigate Business Model and Revenue Streams: Confirm how the company intends to generate sustainable income given zero employees and limited assets.
• Assess Directors’ Business Plans and Forecasts: Understand strategic plans, funding requirements, and growth prospects to gauge future viability.
• Monitor for Future Capital Injections or Financing Rounds: Track any forthcoming equity or debt funding that may improve the financial position.