Company Number: 13030482

Analysis Date: 2025-07-19 12:44 UTC

1. Risk Rating: HIGH
   Justification: The company displays persistent and worsening negative net assets and net current liabilities over the past four years, indicating an ongoing solvency issue. Current liabilities substantially exceed current assets, raising significant liquidity concerns. The absence of employees and minimal capital base further suggest operational fragility.

2. Key Concerns:

• Negative Net Assets & Working Capital Deficit: The net liabilities increased from £5,229 in 2023 to £9,726 in 2024, with net current liabilities worsening from £5,089 to £9,586, signaling an inability to meet short-term obligations.
• Minimal Share Capital and No Employees: Share capital is nominal (£1), and the company employs no staff, raising questions about operational capacity and sustainability.
• Lack of Audit and Limited Financial Disclosure: As a micro-entity, the company files unaudited accounts with no profit and loss statement submitted. This limits transparency and hinders a full assessment of financial health and business performance.

3. Positive Indicators:

• Compliance with Filing Requirements: The company’s accounts and confirmation statements are up to date with no overdue filings, indicating regulatory compliance.
• Stable Director and Ownership: The sole director and 100% shareholder remains consistent, potentially providing stable governance.
• No Indication of Insolvency Proceedings: The company is active and not in liquidation, administration, or receivership.

4. Due Diligence Notes:

• Review the company’s detailed cash flow and profit and loss information if available to assess operational income and expenses not disclosed in the micro-entity filings.
• Investigate the nature of current liabilities to understand creditor terms, potential overdue payments, or contingent liabilities.
• Confirm the director’s plans or strategy to address the deteriorating financial position and whether external funding or restructuring is anticipated.
• Evaluate the company’s business model and market position given the lack of employees and minimal fixed assets.
• Assess any related party transactions or loans that may influence financial stability.