QC MAGNUS LIMITED

Executive Summary

Qc Magnus Limited is a newly incorporated entity engaged in the development of a solar power plant with no current trading activity and limited equity. The company exhibits significant liquidity and solvency risks due to negative working capital and reliance on intercompany funding. However, its connection to a larger group and the strategic nature of its planned business provide some positive context, warranting close monitoring and further due diligence on funding arrangements and project progress.

QC MAGNUS LIMITED - Analysis Report

Company Number: 15112454

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

1. Risk Rating: HIGH
   The company shows significant liquidity risk with net current liabilities of £4,960 against minimal current assets of £996 and no turnover. The business is in a development phase with no operational income and very limited equity (£1 share capital). This early stage with negative working capital and intercompany payables signals elevated solvency and cash flow risk.

2. Key Concerns:

• Negative net current assets (£-4,960) and high current liabilities relative to cash and debtors.
• Absence of turnover and operating profits since incorporation, indicating reliance on external funding.
• Minimal equity and share capital (£1) provide little financial buffer to absorb losses or fund operations independently.

3. Positive Indicators:

• The company is part of a larger group structure, controlled by Quintas Power Uk Holdco Limited and ultimately a Spanish parent, suggesting potential access to group resources.
• No overdue filings or compliance issues; accounts and confirmation statements are up to date.
• The business activity is a solar electricity generation project in development, a sector with growth potential and strategic relevance.

4. Due Diligence Notes:

• Investigate the nature and terms of the intercompany payables (£5,956) and whether ongoing funding support is assured.
• Assess the parent company’s financial strength and commitment to fund this subsidiary through the development phase.
• Clarify the development timeline and capital expenditure plans for the photovoltaic power plant to gauge when revenue generation may commence.
• Review director and management background for track record in similar projects and financial stewardship.
• Monitor future filings for signs of operational progress or increased financial risk.