Company Number: 14849791

Analysis Date: 2025-07-29 17:54 UTC

1. Risk Rating: HIGH
   The company shows a negative net asset position of £5,179, indicating insolvency on a balance sheet basis. Current liabilities exceed current assets significantly, and long-term creditors surpass total assets less current liabilities, suggesting financial distress and a potential inability to meet obligations.

2. Key Concerns:

• Negative Net Assets: The balance sheet reveals total net liabilities of £5,179, signaling insufficient equity to cover liabilities.
• Working Capital Deficit: Current liabilities (£196,569) far exceed current assets (£8,799), implying liquidity issues and possible cash flow constraints.
• High Long-Term Liabilities: Creditors due after more than one year total £246,636, exceeding total assets less current liabilities (£241,457), which raises concerns about the sustainability of debt levels.

3. Positive Indicators:

• Fixed Assets Base: The company holds significant fixed assets (£429,227), which could potentially be liquidated or leveraged to improve financial standing.
• No Overdue Filings: Accounts and confirmation statements are up to date, indicating regulatory compliance and good governance in terms of statutory obligations.
• Clear Ownership Structure: Two directors who are also significant shareholders provide clear accountability and alignment of control.

4. Due Diligence Notes:

• Investigate the nature and terms of the long-term liabilities to assess repayment schedules and creditor arrangements.
• Review cash flow forecasts and any available management accounts to understand operational liquidity beyond the year-end snapshot.
• Ascertain whether the fixed assets are generating income or are readily marketable to improve solvency.
• Confirm absence of director disqualifications or regulatory sanctions that may impact governance or operational stability.
• Understand the business plan and revenue model given zero employees and the recent incorporation (May 2023) to evaluate operational viability.