Company Number: SC680578

Analysis Date: 2025-07-29 20:43 UTC

1. Risk Rating: HIGH
   The company exhibits a persistently negative net asset position and net current liabilities, indicating solvency concerns. With minimal turnover and ongoing losses, the financial stability is weak.

2. Key Concerns:

• Negative Net Assets and Working Capital: The net current liabilities increased to £655 as of 30 November 2023, worsening from £347 the prior year, signaling inability to cover short-term obligations from current assets.
• Low Turnover with Operating Losses: Annual turnover is extremely low (£810) with losses of £624 reported for the latest period, suggesting poor operational performance and insufficient revenue generation to sustain the business.
• Minimal Share Capital and No Audit: With just £1,000 share capital and exemption from audit, detailed financial scrutiny is limited, raising transparency and governance concerns.

3. Positive Indicators:

• Current Filing Status: No overdue accounts or confirmation statements, indicating compliance with statutory filing deadlines.
• Active Company Status: The company remains active and not in liquidation or administration, suggesting ongoing operations.
• Director Stability: Presence of a director with relevant finance experience (Senior Finance Manager) could support improved financial management going forward.

4. Due Diligence Notes:

• Investigate sources of funding or additional capital injections planned to address the negative equity and working capital deficit.
• Review business plan and sales pipeline to assess prospects for revenue growth and operational turnaround.
• Confirm absence of contingent liabilities or off-balance sheet obligations not disclosed in accounts.
• Evaluate director and shareholder background for operational and governance credibility.
• Obtain management accounts or cash flow forecasts to assess liquidity position beyond year-end snapshot.