Company Number: 13921225

Analysis Date: 2025-07-29 12:09 UTC

1. Risk Rating: LOW
   The company's financials indicate solid net current assets and positive net assets with no overdue filings. The business is micro-sized, recently incorporated, and demonstrates increasing asset base and equity. There is no sign of insolvency or liquidity distress at this stage.

2. Key Concerns:

• Limited operational scale: Only one employee reported, which could constrain capacity and growth potential.
• Early stage company: Incorporated in 2022, with only two full years of financial data, limiting trend analysis and long-term viability assessment.
• Dependence on a single director and majority shareholder holding 75-100% control, which may present governance risks and concentration of decision-making.

3. Positive Indicators:

• Positive net current assets (£25,780 in 2024) and increasing shareholders’ funds (from £15,614 in 2023 to £27,146 in 2024) suggest financial stability and ability to meet short-term obligations.
• No overdue account or confirmation statement filings, indicating regulatory compliance and good governance practices to date.
• The company operates in retail via internet/mail order and manufacturing of apparel accessories, sectors with online growth potential.

4. Due Diligence Notes:

• Review cash flow statements if available to confirm liquidity beyond balance sheet snapshots.
• Assess revenue trends and profitability metrics, as these are not provided in the micro-entity accounts, to understand operational sustainability.
• Investigate the director’s background and plans for business scale-up or diversification to mitigate reliance on a single individual.
• Confirm no related party transactions or contingent liabilities that could affect solvency.
• Monitor future filings to ensure continued compliance and financial health.