Company Number: 14253356

Analysis Date: 2025-07-20 14:11 UTC

1. Risk Rating: MEDIUM
   The company shows positive net current assets and shareholder funds as of the latest year, indicating some solvency. However, limited financial history, low absolute asset base, and rapid growth in liabilities relative to assets raise moderate concerns about liquidity and operational stability.

2. Key Concerns:

• Liquidity Risk: Current liabilities of £114,369 against current assets of £133,779 yield a modest net working capital of £19,410. The relatively high liabilities compared to assets in a micro-entity suggest potential cash flow pressure if liabilities crystallize quickly.
• Limited Operating History: Incorporated in mid-2022 with only two full years of accounts, the business has limited historical data to assess financial trends or resilience to market shocks.
• Concentration of Control: Single individual (Mr. Daljit Singh Lamba) holds 75-100% ownership and full voting/control rights, which may raise governance and succession risk considerations for investors.

3. Positive Indicators:

• Improved Financial Position: Net assets increased significantly from £100 in 2023 to £19,410 in 2024, showing growth and capital injection or retained earnings.
• Compliance with Filings: No overdue accounts or confirmation statements, indicating good regulatory compliance and governance at this stage.
• Stable Management: The director has been in place since incorporation with no records of disqualification or adverse conduct, suggesting stable leadership.

4. Due Diligence Notes:

• Verify the nature and terms of current liabilities to assess timing and risk of cash outflows.
• Review detailed cash flow statements and profit & loss data (not provided) to evaluate operational sustainability and profitability.
• Investigate the business model, market conditions, and competitive landscape of the convenience store to understand revenue reliability.
• Confirm whether the company has any contingent liabilities or off-balance sheet obligations.
• Assess risks related to the concentrated ownership structure and plans for governance or succession.