Company Number: 14369098

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

1. Risk Rating: HIGH
   Justification: The company has reported net current liabilities and negative shareholders’ funds in its latest financial year (2024), indicating an erosion of working capital and overall negative net assets. This financial position suggests potential solvency concerns and liquidity stress.

2. Key Concerns:

• Negative net current assets (-£16,810) and shareholders’ funds (-£16,810) in 2024 compared to positive figures in 2023 highlight a significant deterioration in financial health within a single year.
• Current liabilities have increased disproportionately (from £30,584 in 2023 to £49,515 in 2024), while current assets have decreased (from £40,374 to £32,705), indicating worsening liquidity.
• The company is very young (incorporated late 2022) and operates with a small employee base (2 employees), which may limit operational scale and financial resilience.

3. Positive Indicators:

• The company is compliant with filing requirements; accounts and confirmation statements are up to date with no overdue filings, indicating good regulatory adherence.
• The business is classified under management consultancy (SIC 70229), a sector generally with lower capital intensity and potentially flexible cost structures.
• Directors and PSCs are transparent with disclosed ownership and control, all residing at the registered office address, suggesting stable governance at this stage.

4. Due Diligence Notes:

• Investigate the causes of the sharp increase in current liabilities and decrease in current assets between 2023 and 2024, including any unusual or one-off expenses, creditor terms, or related party transactions.
• Review cash flow statements or management accounts (if available) to assess ongoing liquidity and operational cash generation, which are not disclosed in the micro-entity accounts.
• Examine the business model viability and client base, given the early losses and limited scale, to evaluate sustainability and prospects for returning to profitability.
• Confirm whether any contingent liabilities or off-balance sheet risks exist that could further impact solvency.