Company Number: 14035610

Analysis Date: 2025-07-20 13:00 UTC

1. Risk Rating: MEDIUM
   The company shows improvement in net current assets and shareholder funds over the last year, moving from negative to positive. However, the modest scale of net assets (£26,681) and reliance on director loans indicate some financial vulnerability. The company is relatively new (incorporated 2022) and has no employees, which suggests limited operational scale and possible dependency on a single individual.

2. Key Concerns:

• Reliance on Director Loan: A significant creditor balance (£35,211) is a director loan with no fixed repayment terms, which could pose liquidity risk if director funding ceases.
• Negative Working Capital Previously: The prior year showed negative net current assets (-£3,490), indicating past liquidity constraints though improved recently.
• Lack of Audited Accounts and Limited Financial Disclosure: The company is exempt from audit and only files a balance sheet, limiting transparency into profit, cash flows, or operational performance.

3. Positive Indicators:

• Improved Financial Position: The latest accounts show positive net current assets (£12,386) and shareholder funds (£26,681), suggesting recent progress in financial stability.
• Cash Holdings: Cash balances increased from £41,571 to £59,717 over the year, supporting short-term liquidity.
• Active Compliance: No overdue filings or confirmation statements; the company is up to date with statutory obligations.
• Single Controlling Director with Strong Shareholding: Clear ownership and control by Marco Oliver Baio may facilitate quick decision-making and financial support.

4. Due Diligence Notes:

• Investigate the nature and sustainability of the director loan, including any repayment plans or intentions to convert into equity.
• Obtain management accounts or additional financial data to understand profitability, revenue streams, and cash flow trends beyond the balance sheet.
• Review contracts or client base to assess operational sustainability given no employees are reported and the company operates in real estate consultancy.
• Verify the business model and revenue generation given the company’s short trading history and limited disclosures.
• Confirm that there are no pending regulatory or compliance issues not reflected in current filings or public records.