Company Number: 13557169

Analysis Date: 2025-07-20 15:31 UTC

1. Risk Rating: MEDIUM
   The company shows a decline in net assets and net current assets over the most recent financial year, indicating some weakening in financial strength. However, it remains solvent with positive net assets and net current assets. Being a micro-entity limits financial disclosure, restricting detailed assessment.

2. Key Concerns:

• Declining Net Assets: Net assets reduced from £26,217 in 2023 to £13,416 in 2024, nearly a 50% decrease, suggesting potential erosion of capital or accumulated losses.
• Reduced Current Assets and Working Capital: Current assets dropped significantly from £40,989 to £23,520, and net current assets halved from £25,145 to £12,367, which may impact liquidity and operational cash flow.
• Reliance on a Single Director/PSC: The sole director and 100% owner is the same individual, which could pose governance and operational risk if continuity or management issues arise.

3. Positive Indicators:

• Positive Net Assets and Working Capital: Despite declines, the company maintains positive net assets and net current assets, indicating it can currently meet short-term obligations.
• No Overdue Filings: Both accounts and confirmation statements are up to date, reflecting compliance with statutory requirements.
• Growing Workforce: Employee count increased from 1 to 3, potentially supporting operational expansion or diversification.

4. Due Diligence Notes:

• Investigate reason for significant reduction in current assets and net assets between 2023 and 2024, including any unusual expenses, losses, or asset disposals.
• Review cash flow statements and debtor/creditor aging (not available here) to assess liquidity beyond balance sheet snapshot.
• Confirm no director disqualifications or governance issues with Mr. Oscar Morrissey.
• Evaluate business pipeline and contracts in the electrical installation sector to assess sustainability and growth prospects.
• Consider impact of micro-entity reporting limitations on visibility into financial health.