PRYDE CONSULTANCY LTD

Executive Summary

PRYDE CONSULTANCY LTD shows a generally solvent position with positive net current assets and compliance with filing obligations. However, a substantial cash reduction and absence of profit and loss disclosures warrant caution. The company’s operational reliance on a sole director-employee further underscores the need for closer examination of financial and operational sustainability.

PRYDE CONSULTANCY LTD - Analysis Report

Company Number: 13752918

Analysis Date: 2025-07-29 20:53 UTC

1. Risk Rating: MEDIUM
   Justification: PRYDE CONSULTANCY LTD demonstrates positive net current assets and shareholders’ funds, indicating a reasonable buffer to meet short-term liabilities. However, there is a notable decline in cash reserves and net assets between 2024 and 2025, which could signal emerging liquidity pressures if the trend continues. The company also operates with a single employee (the director), which may limit operational resilience.

2. Key Concerns:

• Declining Cash Balance: Cash at bank decreased from £34,895 in 2024 to £9,929 in 2025, a significant reduction that may affect liquidity and the ability to cover immediate expenses.
• Profit and Loss Omission: The director has elected not to file the profit and loss account, which restricts insight into profitability and operational performance trends. This lack of transparency could mask financial difficulties.
• Single Director and Employee: The company relies entirely on one individual both as director and sole employee, which raises concerns about operational continuity and capacity to scale or manage risks effectively.

3. Positive Indicators:

• Positive Net Current Assets: The company maintains net current assets of £13,369 as of March 2025, indicating that current assets exceed current liabilities, supporting solvency in the short term.
• No Filing Overdue: All statutory filings, including accounts and confirmation statements, are up to date and there are no overdue returns, indicating compliance with regulatory requirements.
• Shareholder Control and Stability: Full ownership by a single PSC (Matthew Simon Pryde) may facilitate swift decision-making and consistent strategic direction.

4. Due Diligence Notes:

• Obtain and review the company’s profit and loss account or management accounts to assess profitability and cash flow trends.
• Investigate the reasons behind the sharp decline in cash reserves between 2024 and 2025 and assess if this is due to increased operating costs, capital expenditure, or other factors.
• Evaluate the company’s client base, contract terms, and revenue stability given the single-employee structure to understand operational risks.
• Confirm the director’s capacity and contingency plans for business continuity, including any external advisers or contractors.
• Review any potential contingent liabilities or provisions not fully detailed in the accounts.