Company Number: 13843932

Analysis Date: 2025-07-20 12:49 UTC

1. Risk Rating: LOW
   Project Golf Ltd demonstrates solid financial fundamentals for a relatively young company. The company maintains positive net assets which have increased year-on-year, healthy cash balances, and no overdue filings, indicating good compliance and operational discipline.

2. Key Concerns:

• Financial Commitments: The company reports £80,000 in financial commitments not on the balance sheet, a substantial reduction from £528,685 the prior year. While this shows improvement, the nature and timing of these commitments require clarification to assess potential liquidity impacts.
• Provisions for Liabilities: Provisions nearly doubled from £9,695 to £18,234 in the latest year, suggesting emerging or unresolved obligations that could impact solvency if they crystallize. Details on the nature of these provisions are needed.
• Limited Staff and Scale: With only 3 employees on average and classified as a small company, growth capacity and operational resilience may be limited. This can increase business risk if key personnel leave or market conditions shift.

3. Positive Indicators:

• Strong Liquidity: Cash at bank increased markedly from £130,579 to £203,770, supporting good short-term liquidity and operational flexibility.
• Improving Working Capital: Net current assets rose from £50,333 to £138,294, indicating better management of current assets relative to current liabilities.
• Compliance and Governance: All statutory filings, including accounts and confirmation statements, are up to date with no overdue filings; directors have no adverse records.
• Stable Ownership and Management: Directors and persons with significant control remain consistent since incorporation with relevant industry experience (golf instructor and sports coach), suggesting aligned interests and operational knowledge.

4. Due Diligence Notes:

• Investigate details behind the provisions for liabilities to understand risks and timing of potential cash outflows.
• Clarify the specific nature and timing of financial commitments totaling £80,000 to assess any contingent liabilities or future cash flow demands.
• Review recent and projected revenue and profitability trends, as the accounts do not include a profit and loss statement.
• Confirm long-term sustainability of the business model given small team size and asset base, and any plans for expansion or capital investment.
• Validate any off-balance sheet risks or contingent liabilities not disclosed in the financial statements.