PETER WALTON LIMITED

Executive Summary

Peter Walton Limited exhibits a strong financial position with substantial assets and positive net current assets, supporting a low solvency risk. However, modest recurring losses and significant director loans warrant further analysis to ensure ongoing liquidity and operational sustainability. Regulatory compliance is satisfactory with no overdue filings or governance issues.

PETER WALTON LIMITED - Analysis Report

Company Number: 13150405

Analysis Date: 2025-07-20 12:04 UTC

1. Risk Rating: LOW
   The company demonstrates strong solvency and liquidity positions with substantial net current assets and positive shareholders’ funds. There are no overdue filings or indicators of regulatory non-compliance. Losses reported are relatively small compared to net assets, and the company holds significant investments and tangible assets.

2. Key Concerns:

• Losses and Negative Reserves: The company has incurred cumulative losses reflected in the profit and loss reserves (£376,719 negative), indicating some operational challenges or investment write-downs.
• Concentration of Directors’ Loans: A significant debtor balance (£383,879) is due from directors, repayable on demand, posing potential liquidity risk if repayment is delayed or defaulted.
• Limited Employee Base: Operating with only one employee (including directors) may raise concerns about operational capacity and sustainability for business growth or continuity.

3. Positive Indicators:

• Strong Asset Base: Fixed asset investments increased to over £2 million, with total assets less current liabilities exceeding £3.5 million, showing a solid capital structure.
• Healthy Liquidity: Net current assets exceed £1.4 million, with current liabilities well covered by current assets, reducing short-term liquidity risks.
• Compliance and Governance: No overdue accounts or confirmation statements; filings are up to date with no audit exemption issues, reflecting good regulatory compliance.

4. Due Diligence Notes:

• Investigate the nature and recoverability of director loans included in debtors to assess liquidity and potential conflicts of interest.
• Review the causes of recurring losses and the business model sustainability given the negative profit and loss reserves.
• Assess operational capacity given the minimal employee count and determine if additional resources are planned or required.
• Confirm valuation methodology and assumptions for fixed asset investments and revaluation reserve movements for accuracy and prudence.