Company Number: 13634594

Analysis Date: 2025-07-20 19:07 UTC

1. Risk Rating: HIGH
   The company exhibits a material deterioration in financial position over the last year, with net current assets dropping sharply from £42,286 in 2023 to just £99 in 2024. This suggests very limited liquidity and an inability to cover short-term liabilities comfortably. The presence of significant current liabilities (£18,787) in 2024 which were absent in 2023 is a key concern.

2. Key Concerns:

• Liquidity risk: Cash reserves have declined drastically from £31,904 (2023) to £7,235 (2024), while current liabilities have increased to £18,787, indicating potential cash flow stress.
• Solvency risk: Net assets have almost vanished from £42,286 to £99 in one year, signaling erosion of shareholder equity and possible solvency issues if trends persist.
• Related party exposure: The entire current liabilities figure in 2024 is “amounts owed to other participating interests,” suggesting significant related party debt which may pose risk if not adequately managed or documented.

3. Positive Indicators:

• The company remains active and compliant with filing deadlines, with no overdue accounts or confirmation statements.
• Control is diversified among four significant controllers, reducing dependency on a single shareholder.
• The company is operating in technical consulting and telecommunications sectors, which can offer growth opportunities if operational issues are resolved.

4. Due Diligence Notes:

• Investigate the nature and terms of the £18,787 current liabilities owed to related parties to assess repayment risk and conditions.
• Request management accounts or cash flow forecasts post-September 2024 to determine if the liquidity situation is improving or deteriorating.
• Understand the reason for the sharp decline in cash and net assets during the latest financial year, including any one-off expenses or changes in business operations.
• Confirm the operational status of the company given the reported zero employees and minimal reported activity in accounts.