OARS OF THUNDER COMMUNITY INTEREST COMPANY

Executive Summary

OARS OF THUNDER COMMUNITY INTEREST COMPANY presents a high solvency risk given negative net assets and significant long-term creditor liabilities exceeding current cash resources. Despite increasing turnover and active regulatory compliance, the company operates at a loss with limited liquidity. Further due diligence should focus on creditor terms and cash flow sustainability to assess ongoing operational viability.

OARS OF THUNDER COMMUNITY INTEREST COMPANY - Analysis Report

Company Number: 14194908

Analysis Date: 2025-07-20 16:27 UTC

1. Risk Rating: HIGH
   The company shows a negative net asset position and significant long-term creditor obligations exceeding current assets, indicating solvency challenges. Operating losses persist, and the financial structure relies on substantial creditors due after more than one year.

2. Key Concerns:

• Negative Net Assets: The company’s net assets are negative (£-570), suggesting liabilities exceed assets, a classical red flag for solvency.
• High Long-Term Creditors: Creditors due after more than one year amount to £60,259, vastly exceeding current assets and cash of £8,181, raising questions about the company’s ability to meet long-term obligations.
• Operating Losses Despite Increasing Turnover: Although turnover increased from £5,040 to £18,359, the company still reported a loss (£191), indicating ongoing operational sustainability issues.

3. Positive Indicators:

• No Overdue Filings: Both accounts and confirmation statement filings are up to date, reflecting regulatory compliance and good governance.
• Clear Purpose and Stakeholder Engagement: The company is a Community Interest Company with a defined charitable purpose supporting designated charities and has active stakeholder engagement with sponsors and charitable partners.
• Tangible Fixed Assets: The company holds tangible fixed assets (notably an ocean rowing boat) valued at £54,643, which may provide some security or collateral value.

4. Due Diligence Notes:

• Investigate the nature and terms of the £60,259 long-term creditors to understand repayment schedules, creditor identity, and potential refinancing risks.
• Assess cash flow forecasts and fundraising plans related to upcoming events (e.g., the World’s Toughest Row - Atlantic) to evaluate liquidity prospects.
• Review the sustainability of the business model post-event, given current operating losses and reliance on sponsorship/fundraising income.
• Confirm no contingent liabilities or off-balance-sheet obligations that could exacerbate solvency risk.
• Evaluate director and stakeholder commitment to ongoing financial support or restructuring plans.