Company Number: 12425758

Analysis Date: 2025-07-20 18:38 UTC

1. Risk Rating: MEDIUM
   The company shows positive net current assets but very low net assets and shareholders’ funds, indicating limited capital buffer. The presence of long-term creditors exceeding current assets is a concern for solvency under stress. Micro-entity status limits financial disclosure, restricting a full risk assessment.

2. Key Concerns:

• Low Net Assets: Net assets have remained minimal (£545 in 2024), suggesting limited equity to absorb losses.
• Long-term Creditors: Creditors falling due after more than one year (£6,942 in 2024) are significant relative to net assets, posing refinancing or repayment risk.
• Limited Financial Transparency: As a micro-entity, accounts are abbreviated with no profit/loss or cash flow data, limiting insight into operational performance and liquidity.

3. Positive Indicators:

• Current Assets Exceed Current Liabilities: Net current assets remain positive (£7,487 in 2024), indicating short-term obligations can be met.
• Timely Filing: No overdue accounts or confirmation statements; compliance with statutory filing requirements is up to date.
• Single Director with Full Control: Clear governance structure with one director and sole shareholder, potentially enabling agile decision-making.

4. Due Diligence Notes:

• Request full financial statements or management accounts to assess profitability and cash flow trends.
• Investigate nature and terms of long-term creditors to understand repayment obligations and refinancing risk.
• Confirm operational business model viability given limited asset base and small scale (1 employee).
• Review director’s background and any related party transactions for potential conflicts or financial support.
• Evaluate customer base and revenue stability within the non-specialised wholesale trade sector.