Company Number: 13679168

Analysis Date: 2025-07-29 18:18 UTC

1. Risk Rating: HIGH
   The company shows significant liquidity concerns with current liabilities exceeding current assets and a negative net current asset position. The micro-entity scale and limited financial disclosures restrict comprehensive evaluation, but the imbalance between short-term liabilities and assets suggests potential solvency risk.

2. Key Concerns:

• Negative net current assets (£76 current assets vs. £3,412 current liabilities) indicate potential cash flow difficulties to meet short-term obligations.
• Very limited current assets and low working capital raise concerns about operational liquidity and ability to fund day-to-day activities.
• Recent change in directors and concentration of control (single individual owning 75-100% shares and voting rights) could pose governance risks and dependence on a single key individual.

3. Positive Indicators:

• The company is current with all statutory filings, including accounts and confirmation statements, indicating compliance with regulatory requirements.
• The net assets figure is positive (£18,764), largely driven by fixed assets, suggesting some underlying asset base.
• The company has a small number of employees (4), consistent with its micro-entity classification, which may imply lean operations and controlled overheads.

4. Due Diligence Notes:

• Investigate the nature and valuation of fixed assets (£22,000) to confirm their liquidity and relevance to ongoing operations.
• Review recent trading performance and cash flow statements (if available) to assess operational cash generation and short-term liquidity management.
• Understand the reason for director changes in early 2023 and the implications for management stability and strategic direction.
• Confirm the relationship and roles of the persons with significant control, particularly given the overlap in share ownership and voting rights.
• Obtain further details on contracts or commitments that may impact future liabilities or require capital expenditures.