Company Number: 13152188

Analysis Date: 2025-07-20 16:29 UTC

1. Risk Rating: HIGH

   Justification: The company exhibits negative net assets and capital reserves as of the latest financial year, indicating insolvency on a balance sheet basis. The reported accrued liabilities exceed current assets substantially, and the net asset position has deteriorated compared to prior years, signaling worsening financial health. The company is a micro-entity with minimal financial disclosures, limiting transparency for deeper assessment.

2. Key Concerns:

   • Negative Net Assets: As of 31 January 2024, net assets are reported at -£101, a decline from -£934 the previous year, reflecting persistent and material capital erosion.

   • Accrued Liabilities Exceed Current Assets: Accrued liabilities stood at £791 against current assets of only £690, indicating possible liquidity stress and insufficient short-term resources to cover obligations.

   • Minimal Share Capital and Operational Scale: With only £1 share capital and a single employee (the director), the company appears very thinly capitalized and operationally limited, raising concerns about sustainability and capacity to manage project risks in a building development sector.

3. Positive Indicators:

   • Compliance with Filing Requirements: The company is up to date with both annual accounts and confirmation statement filings, demonstrating regulatory compliance and governance diligence.

   • Active Status and No Liquidation: The company remains active and is not undergoing any formal insolvency processes such as liquidation or administration.

   • Consistent Director and Address: The sole director has been in place since incorporation, providing continuity in management.

4. Due Diligence Notes:

   • Examine Detailed Cash Flows and Creditors: Review cash flow statements and creditor aging if available to assess immediate liquidity pressures beyond the balance sheet snapshot.

   • Investigate Nature and Timing of Accrued Liabilities: Clarify whether accrued liabilities reflect trade payables, tax obligations, or contingent liabilities that might impact solvency risks.

   • Assess Business Model and Revenue Streams: Given the development of building projects SIC code and micro-entity status, evaluate contract pipelines, client diversification, and project margins to understand operational viability.

   • Director Background and Related Party Transactions: Investigate director’s financial standing and any related party dealings that could influence company risk.

   • Monitor Future Financial Performance: Given the negative equity trend, ongoing monitoring of subsequent financial filings is critical to detect any deterioration or turnaround.