Company Number: 13150974

Analysis Date: 2025-07-20 15:40 UTC

1. Risk Rating: HIGH
   Justification: The company exhibits persistent negative net assets indicating insolvency on a balance sheet basis. Its current liabilities substantially exceed current assets, raising concerns about short-term liquidity and ability to meet obligations. The company has no employees other than the director and relies on a single individual with full control, which may limit operational stability.

2. Key Concerns:

• Negative net assets (~£91,500) persisting over multiple years, signaling ongoing solvency risk.
• Current liabilities exceed current assets by a wide margin, with creditors after more than one year totaling over £857,000, indicating significant long-term debt obligations.
• Lack of operational scale and revenue evidence (zero employees reported) raises questions about business sustainability and cash flow generation.

3. Positive Indicators:

• Company is filing accounts and confirmation statements on time, showing regulatory compliance and good governance practice in this regard.
• Fixed assets have remained stable around £700,000, which may represent valuable underlying property assets supporting the business.
• The sole director and 75-100% shareholder appears stable with no disqualifications or red flags noted.

4. Due Diligence Notes:

• Investigate the nature and terms of the substantial long-term liabilities (~£857,000) to assess repayment capacity and any potential refinancing risks.
• Review cash flow statements or management accounts if available to understand operational cash generation and liquidity beyond balance sheet snapshots.
• Clarify business model and revenue streams given the absence of employees and minimal current assets, to evaluate sustainability and growth prospects.
• Confirm any related party transactions or director loans that may impact financial position.
• Consider property valuation of fixed assets to verify balance sheet asset quality.