NUMBER 5 ORANGE LIMITED

Executive Summary

Number 5 Orange Limited exhibits a stable financial position with positive working capital and increasing net assets, coupled with timely regulatory filings. However, the company's very modest scale and lack of detailed profit and loss information constrain a full assessment of operational sustainability and liquidity. Further due diligence is recommended to clarify cash flow dynamics and business viability.

NUMBER 5 ORANGE LIMITED - Analysis Report

Company Number: NI669462

Analysis Date: 2025-07-29 14:18 UTC

1. Risk Rating: LOW

The company demonstrates a positive net current asset position and increasing net assets over recent years, indicating an ability to meet short-term obligations. Filing deadlines are current with no overdue accounts or confirmation statements, reflecting good regulatory compliance. The small scale of operations and micro-entity reporting reduce complexity and exposure to operational risks.

2. Key Concerns:

• Limited Financial Scale: The company has very modest current assets (£2,062) and net assets (£825), which constrains financial flexibility and resilience to adverse events.
• Accruals and Deferred Income: A significant portion of net current assets is offset by £713 in accruals and deferred income, which may impact liquidity if not converted into cash promptly.
• Lack of Profit and Loss Disclosure: The absence of published profit and loss accounts limits assessment of operational profitability and sustainability.

3. Positive Indicators:

• Positive Working Capital: Net current assets improved to £1,538 as of 31 May 2024, suggesting short-term creditor obligations can be met.
• Increasing Net Assets: Growth in net assets from £69 in 2023 to £825 in 2024 indicates strengthening equity.
• Good Regulatory Standing: All filings are up to date with no overdue accounts or confirmation statements.
• Stable Management: Directors and PSCs have stable appointments since incorporation with no disqualifications noted.

4. Due Diligence Notes:

• Request full profit and loss statements to evaluate operational performance and cash flow generation.
• Investigate the nature and timing of accruals and deferred income to understand their impact on cash liquidity.
• Review any contingent liabilities or off-balance sheet exposures not evident in micro-entity filings.
• Confirm the business model viability given the small scale and industry sectors (web portals, IT consultancy, and mail order retail).