Company Number: 14314992

Analysis Date: 2025-07-20 11:53 UTC

1. Risk Rating: HIGH

Justification: The company’s balance sheet shows significant net current liabilities and negative net assets, indicating financial distress and potential insolvency risk despite its micro-entity status and recent incorporation.

2. Key Concerns:

• Negative Net Current Assets: As of 31 August 2024, the company reports net current liabilities of £16,674, a deterioration from £9,177 in the previous year, signaling liquidity issues.
• Negative Net Assets: The company’s net assets are negative at £15,753 in 2024, worsening from the prior year, which raises concerns about solvency and the ability to cover total liabilities.
• Minimal Current Assets: Current assets have drastically decreased to £58 from £597 in 2023, which suggests very limited liquid resources to meet short-term obligations.

3. Positive Indicators:

• No Overdue Filings: The company has complied with its filing deadlines for accounts and confirmation statements, indicating regulatory compliance and governance discipline.
• Increasing Employee Count: The average number of employees increased from 1 to 2, which may imply operational activity and some business growth.
• Active Website and Contact: The company maintains an active website and contact email, suggesting ongoing business operations and customer engagement.

4. Due Diligence Notes:

• Examine Cash Flow Statements: Review detailed cash flow and bank statements to understand the source and timing of cash inflows and outflows, and assess the liquidity situation beyond balance sheet snapshots.
• Review Debts and Creditors: Investigate the nature of the current liabilities, including trade creditors, loans, or accruals, and any overdue or disputed amounts that could exacerbate solvency risk.
• Assess Business Model Viability: Analyze the company’s business plan, revenue streams, and market conditions for tour operator activities (SIC 79120) to determine if operational adjustments are underway or required.
• Director’s Strategy and Support: Clarify the director’s plans for financial restructuring or capital injections, given the director holds significant control and voting rights.
• Confirm No Related Party Transactions: Verify if any liabilities or assets involve related parties or director loans that might affect company financial stability.