Company Number: 13063473

Analysis Date: 2025-07-20 11:33 UTC

1. Risk Rating: MEDIUM
   While Quantum Compass Ltd remains an active private limited company with current filings up to date, there are notable concerns regarding its declining net assets and working capital over recent years, which elevate its risk profile beyond low.

2. Key Concerns:

• Significant Decline in Net Assets: Net assets have decreased sharply from £12,997 in 2022 to £3,332 in 2023, indicating either losses or asset write-downs that may affect solvency.
• Reduced Working Capital: Net current assets dropped from £12,420 to £3,213 in the latest year, potentially stressing liquidity and the company’s ability to meet short-term obligations.
• Minimal Share Capital and Staffing: With share capital at just £1 and only one employee (the director), the operational scale is very limited, raising questions about the company’s capacity to sustain and grow its business.

3. Positive Indicators:

• Timely Compliance: All statutory accounts and confirmation statements are filed on time, indicating good regulatory compliance and governance discipline.
• No Indications of Insolvency or Liquidation: The company is not undergoing any formal insolvency proceedings and remains active.
• Consistent Director Presence: The sole director has remained in position since incorporation, suggesting stable leadership.

4. Due Diligence Notes:

• Investigate the cause of the steep decline in net assets and working capital in 2023 compared to prior years. Review the profit and loss accounts or notes to accounts if available.
• Assess cash flow statements to better understand liquidity trends and whether there are any looming cash flow risks.
• Confirm the nature and sustainability of the company’s revenue streams given the very small scale of operations and staffing.
• Verify if any related party transactions or unusual accounting treatments have impacted asset valuation or liabilities.
• Review director background and any external credit or legal records for potential risks not evident in filings.