Company Number: 13804468

Analysis Date: 2025-07-29 20:33 UTC

1. Risk Rating: MEDIUM

The company shows modest net asset growth but persistent negative net current assets, indicating potential liquidity concerns. Its micro-entity status and limited financial disclosures constrain full risk assessment, but the absence of overdue filings and active status are positive.

2. Key Concerns:

• Negative Net Current Assets: Both 2022 and 2023 show net current liabilities (£2,853 and £2,240 respectively), suggesting short-term liquidity issues and potential difficulty meeting immediate obligations.
• Small Scale and Limited Financial Disclosure: As a micro-entity with minimal financial reporting requirements, detailed profitability and cash flow information is unavailable, limiting visibility on operational stability.
• Concentration of Control: Single director and 75-100% ownership by Richard Lannen may present governance risks, including lack of independent oversight.

3. Positive Indicators:

• Improvement in Net Assets: Net assets increased from £439 in 2022 to £5,462 in 2023, indicating some strengthening of the company’s financial position.
• No Overdue Filings: Both accounts and confirmation statements are filed on time, signifying compliance with regulatory requirements.
• Growth in Fixed Assets and Employment: Fixed assets more than doubled and average staff increased from 1 to 3 employees, suggesting operational expansion.

4. Due Diligence Notes:

• Review detailed cash flow statements or management accounts if available to assess liquidity beyond balance sheet snapshots.
• Investigate the nature and terms of current liabilities causing negative working capital.
• Understand the company’s revenue streams and profitability given the limited disclosure.
• Assess any contingent liabilities or off-balance sheet risks not captured in micro-entity filings.
• Evaluate governance practices and risk management given sole director and shareholder concentration.