Company Number: 13927825

Analysis Date: 2025-07-29 16:16 UTC

1. Risk Rating: HIGH
   The company shows negative net assets and relies heavily on director loans and secured debt, indicating solvency and liquidity risks.

2. Key Concerns:

• Negative shareholders’ funds (£-13,748) and net liabilities, signaling solvency pressure.
• High current liabilities (£220,944) relative to cash (£314,925) and prior year large liabilities, suggesting liquidity constraints.
• Significant director loans (£397,648) indicating reliance on related party funding rather than external financing.

3. Positive Indicators:

• Substantial investment property holdings valued at £719,998, which may provide asset backing.
• Recent increase in investment property value and additions (£322,603), showing asset growth.
• No overdue filings and current status active, indicating regulatory compliance and operational continuity.

4. Due Diligence Notes:

• Investigate terms and repayment schedules of secured bank loan (£432,725) and director loans to assess refinancing risk.
• Review cash flow statements and income generation from investment property to evaluate operational sustainability.
• Confirm valuation methodology and marketability of investment property assets since they form the majority of the asset base.
• Assess plans by directors to address negative equity and improve financial stability.