PENGXSPACE LIMITED

Executive Summary

PENGXSPACE LIMITED is a recently established micro-entity operating in niche retail and plant propagation sectors. It remains solvent with positive net assets but faces challenges from declining turnover and ongoing small losses, resulting in medium risk to investors. The company is compliant with filing requirements and has a straightforward ownership structure, but close monitoring of cash flow and business prospects is advised.

PENGXSPACE LIMITED - Analysis Report

Company Number: 14165741

Analysis Date: 2025-07-20 12:51 UTC

1. Risk Rating: MEDIUM
   The company is a micro-entity with very limited financial resources and low turnover. It shows small positive net current assets but has recorded losses in the last two reported periods. While it is not insolvent, the narrow margin and declining turnover indicate a moderate risk level.

2. Key Concerns:

• Declining turnover: From £42,325 in 2023 to £33,394 in 2024, reflecting reduced sales or demand.
• Operating losses: Small but consistent losses (£136 loss in 2024, £225 loss prior), suggesting ongoing unprofitability.
• Very limited working capital: Net current assets of only £128 in 2024, which may constrain liquidity and operational flexibility.

3. Positive Indicators:

• Positive net current assets and net assets, indicating the company is currently solvent and able to meet short-term obligations.
• No overdue filings or compliance issues; accounts and confirmation statements are up to date.
• Single director and 100% shareholder control by a British national, indicating clear governance and control structure.

4. Due Diligence Notes:

• Investigate reasons behind turnover decline and assess prospects for revenue growth or stabilization.
• Review cash flow statements and bank balances (not provided) to better understand liquidity position beyond balance sheet figures.
• Confirm absence of related party transactions or contingent liabilities that could impact financial stability.
• Assess the director’s plans and capability to return the company to profitability or sustain operations in the near term.