PAPAVER CONSULTING LIMITED
Executive Summary
Papaver Consulting Limited is a very recently established micro-entity with minimal financial resources and negative working capital as of its latest accounts. While it maintains regulatory compliance and has clear ownership, the lack of employees and very limited asset base raise significant concerns about its operational stability and liquidity. Further investigation into recent financial activity and governance changes is recommended to better assess its investment risk.
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This analysis is opinion only and should not be interpreted as financial advice.
PAPAVER CONSULTING LIMITED - Analysis Report
Risk Rating: HIGH
The company's financial data reveals net current liabilities of £667 at the year ending 31 March 2023, indicating negative working capital and immediate liquidity concerns. Additionally, the company has no recorded employees and minimal current assets (£610), suggesting limited operational scale or revenue generation. The director resigned in April 2024, shortly after the financial year end, which may imply internal changes or instability.Key Concerns:
- Negative Working Capital: Current liabilities exceed current assets, risking inability to meet short-term obligations.
- Minimal Scale of Operations: No employees and very low asset base point to a nascent or non-operational business, raising sustainability questions.
- Director Resignation: Departure of a director within two years of incorporation may reflect governance or strategic issues.
- Positive Indicators:
- No Filing Overdues: Accounts and confirmation statement filings are up to date, indicating regulatory compliance.
- Clear Ownership Structure: Majority control by one PSC simplifies accountability and decision-making.
- Active Website and Contact Details: Presence of an active online domain and contact information suggest ongoing business intent.
- Due Diligence Notes:
- Verify cash flow statements and any subsequent accounts post-March 2023 to assess current liquidity status.
- Investigate reasons behind director resignation and any impact on company governance or strategy.
- Review any contracts, client engagements, or revenue streams to determine operational viability beyond minimal balance sheet figures.
- Confirm whether there have been any financial injections or funding rounds since incorporation to support solvency.
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