Company Number: 13888334

Analysis Date: 2025-07-20 17:17 UTC

1. Risk Rating: LOW
   The company exhibits a positive net asset position, increasing net current assets, and has complied with filing deadlines. The financial data indicates adequate short-term liquidity and no signs of insolvency.

2. Key Concerns:

• Limited scale: As a micro-entity with modest current assets (£8,643) and no fixed assets, the business may be vulnerable to unexpected financial stress.
• Narrow operating history: Incorporated in 2022, the company has a short financial track record, limiting trend analysis and risk assessment.
• Concentrated control: 100% ownership and directorship by a single individual may elevate governance risk and reduce operational resilience.

3. Positive Indicators:

• Increasing net assets: Shareholders' funds grew from £1,797 (2023) to £4,005 (2024), reflecting retained earnings or additional capital injection.
• Positive working capital: Net current assets improved from £1,797 to £4,005, suggesting better liquidity management.
• Filing compliance: All statutory accounts and confirmation statements are filed on time, indicating sound regulatory adherence.
• Employment growth: Average employees increased from 4 to 5, suggesting operational expansion.

4. Due Diligence Notes:

• Verify the nature of current assets (cash versus receivables or stock) to assess liquidity quality.
• Review cash flow statements if available to confirm operating cash generation and absence of liquidity pressure.
• Evaluate customer concentration and supplier relationships given the small scale and single director ownership.
• Assess business plan and market positioning, as limited fixed assets may imply reliance on leasing or third-party services.
• Investigate director's background and governance controls given sole control and limited corporate structure.