Company Number: 14555161

Analysis Date: 2025-07-19 12:43 UTC

1. Risk Rating: MEDIUM
   Justification: OXUS ENTERPRISE LIMITED is a newly incorporated private limited company with a single director and sole shareholder. Its financial statements show a modest net asset base (£19,628) and very limited net current assets (£134), indicating a fragile liquidity position. The presence of long-term creditors (£6,394) further impacts solvency. The company is compliant with filings and not in liquidation, but limited scale and short trading history constrain confidence.

2. Key Concerns:

• Liquidity Risk: The company holds very low cash (£3,209) against current liabilities of £24,075, resulting in minimal working capital cushion (net current assets £134). This tight liquidity may impair its ability to meet short-term obligations promptly.
• Solvency Pressure: Although net assets are positive, total assets less current liabilities stand at £26,022, reduced by non-current liabilities of £6,394, leaving net assets at £19,628. The gearing impact of creditors beyond one year is notable given the small equity base.
• Limited Operating History and Scale: Incorporated in December 2022, with accounts covering slightly over one year, the company has limited financial history and operates with only two employees. This restricts assessment of operational stability and business sustainability.

3. Positive Indicators:

• Regulatory Compliance: All statutory filings, including accounts and confirmation statements, are up to date and not overdue, indicating good governance practices.
• Ownership and Control Transparency: The sole director and 100% shareholder is clearly identified, reducing complexity and enhancing control visibility.
• Accounting Policies: The company applies FRS 102 and small company regime accounting, with tangible fixed assets and modest depreciation, reflecting an organized financial reporting approach.

4. Due Diligence Notes:

• Cash Flow Analysis: Obtain detailed cash flow statements or management accounts to understand monthly liquidity trends and cash conversion cycles.
• Nature of Long-Term Creditors: Investigate the composition and terms of the £6,394 non-current liabilities to assess financial obligations and refinancing risks.
• Business Model Viability: Review contracts, client base, and revenue projections to evaluate operational sustainability given the company's size and sector (management consultancy and IT services).
• Director Background: Although no disqualifications are noted, consider background checks on the director for past conduct and experience relevant to managing financial risks.