OPENWORK PARTNERSHIP LLP

Risk Rating: MEDIUM While operational and basic regulatory indicators are currently stable, the absence of financial data prevents a comprehensive assessment of solvency and liquidity. The rating reflects the inherent structural complexity of a large Limited Liability Partnership (LLP) with numerous corporate and individual members, combined with the inability to verify financial stability from the provided data.

Key Concerns: - Lack of Financial Transparency: No financial figures (current assets, current liabilities, net assets) are available in the provided data. Without this, it is impossible to quantify solvency risk, liquidity constraints, or working capital adequacy. - Structural Complexity and Member Turnover: The LLP has a highly fragmented ownership and operational structure, with numerous corporate and individual members acting as LLP members. The recent resignations of two corporate members (K L A S MORTGAGE SERVICES LTD and PILLAR BOX FINANCIAL SERVICES LIMITED) introduce uncertainty regarding whether this represents standard network churn or the loss of significant revenue-generating partners. - PSC Opacity: The PSC register only provides a generic statement rather than naming specific individuals or entities with significant control. This lack of clarity on ultimate beneficial ownership is a hurdle for assessing concentrated risk or related-party exposures.

Positive Indicators: - Regulatory Compliance: The company is fully up to date with its statutory filing requirements. The confirmation statement and accounts are not overdue, suggesting disciplined administrative governance. - Operational Longevity: Incorporated in 2005, the entity has nearly two decades of operational history, indicating long-term market survival and business sustainability. - Active Status: The company is actively registered and not in liquidation, administration, or receivership.

Due Diligence Notes: - Financial Assessment: Procure and review the latest filed group accounts (made up to 31 December 2024) to analyze members' capital, cash flow generation, and net current asset positions. Pay specific attention to the treatment of member loans and profit allocations. - Regulatory Standing: Given the nature of the named officers (e.g., mortgage and financial planning entities), verify the firm's authorization and standing with the Financial Conduct Authority (FCA). - Member Analysis: Investigate the resigned corporate members to determine the commercial impact of their departure. Additionally, map the corporate members to their individual directors to check for director disqualifications or overlapping financial distress within the network. - PSC Investigation: Request the full PSC register from the company to identify those with significant influence or control, as the public register lacks specific nominative data.