Company Number: 14195170

Analysis Date: 2025-07-20 18:34 UTC

1. Risk Rating: HIGH
   The company shows negative net current assets and total net liabilities for the most recent year, which is a significant solvency concern. The small scale (micro-entity) and very limited current assets compared to current liabilities indicate liquidity risk. The financial data suggests operational fragility for a business incorporated less than two years ago.

2. Key Concerns:

• Negative net current assets: In 2024, current assets (£131) are substantially lower than current liabilities (£1,125), resulting in net current liabilities of £994. This weak liquidity position risks inability to meet short-term obligations.
• Negative total net assets and shareholders’ funds: The accounts show net liabilities of £1,010 as of June 2024, worsening from £878 the prior year, indicating that liabilities exceed assets and shareholder equity is negative.
• Minimal asset base and revenue scale: Fixed assets are minimal (£333) and no turnover or profit figures are provided. The single employee and micro-entity status suggest limited operational scale and potential challenges sustaining the business.

3. Positive Indicators:

• Compliance: Company filings and accounts are up to date with no overdue returns or accounts, indicating good regulatory compliance.
• Active online presence: The company maintains an active website with contact details, which suggests ongoing business activity and engagement with customers.
• Clear director accountability: The accounts are signed by the director with acknowledgement of statutory responsibilities, reflecting governance awareness.

4. Due Diligence Notes:

• Verify recent trading performance and income statements to assess profitability and cash flow beyond balance sheet data.
• Investigate nature and timing of current liabilities to understand if these are trade payables, loans, or other debts and their repayment terms.
• Confirm plans for capital injection or restructuring to improve solvency given the negative net assets position.
• Review director background and any related party transactions for potential conflicts or financial support arrangements.
• Examine future forecasts or business plans to evaluate operational sustainability given current financial weakness.