Company Number: 14849647

Analysis Date: 2025-07-29 17:00 UTC

1. Risk Rating: MEDIUM
   The company is newly incorporated (2023) with modest net assets and positive net current assets, indicating initial solvency. However, the relatively high current liabilities compared to current assets and limited operational history elevate risk moderately.

2. Key Concerns:

• Liquidity pressure given current liabilities (£43,902) are close to total current assets (£56,735), with cash on hand only £27,302, potentially constraining cash flow flexibility.
• Limited operational track record (less than one full financial year) restricts ability to assess sustainable profitability or revenue trends.
• Single director and sole controlling shareholder may pose governance risks and limit managerial oversight.

3. Positive Indicators:

• Positive net current assets (£12,833) and net assets show the company is solvent at the latest year-end.
• Company is compliant with filing deadlines for both accounts and confirmation statements, reducing regulatory risk.
• Small company exemption applied appropriately, aligning with size and reporting requirements.

4. Due Diligence Notes:

• Review detailed turnover and profit figures, as these are not included in filleted accounts, to evaluate revenue generation and profitability.
• Assess the nature and aging of trade debtors (£29,433) for collectability and potential bad debts.
• Investigate terms and timing of current liabilities, especially taxation and social security costs (£10,731), to identify any imminent payment obligations.
• Confirm director's capacity and experience beyond occupation as taxi driver to assess operational management capabilities.
• Monitor cash flow statements and bank reconciliations for signs of liquidity strain as the business scales.