Company Number: 13879845

Analysis Date: 2025-07-20 13:39 UTC

1. Risk Rating: MEDIUM
   Performance Vans Limited shows a moderate financial position for a recently incorporated company. While net assets have more than doubled from £22.6k in 2023 to £50.8k in 2024, the company is still small and relatively new, with limited fixed assets and modest cash reserves. The significant reduction in current liabilities from £57.6k to £13.3k is positive but warrants monitoring for sustainability.

2. Key Concerns:

• Liquidity Risk: Cash on hand decreased from £18.8k to £8.6k, which could pressure short-term liquidity despite healthy net current assets. The company’s trade debtors have also fallen sharply, which could indicate collection or revenue issues.
• Limited Asset Base: Fixed assets are minimal (£3.4k), suggesting limited investment in operational capacity or reliance on third-party resources. This may constrain growth or operational flexibility.
• Concentration of Control: The sole director and 100% shareholder (Mr. Robert Atterbury) controls all voting rights and director appointments, which could raise corporate governance concerns for investors seeking diversified oversight.

3. Positive Indicators:

• Improved Financial Health: Net assets and shareholders’ funds more than doubled year-on-year, indicating retained earnings or capital injections and improved solvency.
• No Overdue Filings: Both accounts and confirmation statements are filed on time, demonstrating compliance with statutory obligations and reducing regulatory risk.
• Stable Stock Levels: Inventory remains consistent around £51.5k, suggesting stable operations and no significant stock write-downs or obsolescence reported.

4. Due Diligence Notes:

• Review cash flow statements and bank reconciliations to assess liquidity trends beyond balance sheet snapshots.
• Investigate the reasons behind the large reduction in current liabilities and trade debtors between 2023 and 2024 to understand operational or payment cycle changes.
• Evaluate the impact of the director’s sole control on decision-making and potential succession or risk mitigation plans.
• Confirm the nature of deferred tax liability (£649) and whether it reflects timing differences with potential future cash impact.
• Assess revenue trends and customer concentration given limited debtor balance and industry exposure to motor vehicle sales.