Company Number: 14674040

Analysis Date: 2025-07-29 18:04 UTC

1. Risk Rating: HIGH

   The company exhibits a high-risk profile primarily due to its significant net current liabilities and minimal net assets relative to total liabilities. Given the company’s recent incorporation and micro-entity status, the financial position suggests potential solvency and liquidity challenges.

2. Key Concerns:

   • Negative Working Capital: The company has net current liabilities of £35,893, indicating current liabilities exceed current assets, which raises concerns about its ability to meet short-term obligations.
   • High Long-Term Debt: Creditors falling due after more than one year amount to £105,305, which is substantial relative to the company’s net assets of only £5,928, signaling heavy leverage and potential solvency risk.
   • Limited Financial History and Scale: Being incorporated in early 2023 and classified as a micro-entity with only one employee limits the available operational and financial track record, thus increasing uncertainty around business sustainability.

3. Positive Indicators:

   • Compliance with Filing Requirements: The company is up-to-date with its annual accounts and confirmation statement filings, indicating good regulatory compliance.
   • Sole Director and Shareholder Control: Mr. Jonathan William Peacock holds full control (75-100% shareholding and voting rights), which may allow for swift decision-making and operational flexibility.
   • Asset Base: Fixed assets of £147,846 provide some tangible backing to the company’s capital structure.

4. Due Diligence Notes:

   • Investigate the nature and terms of the long-term creditors (£105,305) to assess repayment schedules, interest commitments, and covenants.
   • Review cash flow statements and projections to evaluate the company’s ability to service current liabilities and fund ongoing operations.
   • Clarify the business model and revenue generation plans given the SIC code (other letting and operating of own or leased real estate) and the minimal workforce.
   • Confirm that there are no related party transactions or director loans that may impact financial stability.
   • Verify if any contingent liabilities or off-balance sheet obligations exist that could exacerbate financial risk.