Company Number: 13871791

Analysis Date: 2025-07-20 13:30 UTC

1. Risk Rating: MEDIUM
   RC Energy Solutions Ltd shows growth in net assets and fixed assets over its short operating history, which is a positive sign. However, persistent net current liabilities and the presence of long-term creditors indicate potential liquidity and solvency pressure that warrant caution.

2. Key Concerns:

• Negative Net Current Assets: The company has net current liabilities of £7,361 as of January 2024, worsening from £344 the previous year. This suggests potential short-term liquidity strain.
• Long-Term Creditors: £26,703 is owed beyond one year, which is significant relative to the company’s size and equity of £42,585, potentially affecting long-term solvency.
• Limited Operational History and Scale: Incorporated in 2022 with micro-entity status and only two employees, the company’s operational stability and ability to withstand market shocks are unproven.

3. Positive Indicators:

• Increasing Net Assets: Equity grew from £306 in 2023 to £42,585 in 2024, indicating successful capital injection or profitability.
• No Overdue Filings: Accounts and confirmation statements are up to date, reflecting good regulatory compliance.
• Single Controlling Director with Relevant Experience: The sole director, Ben Joseph Richardson, has a relevant occupation (Retrofit Coordinator), suggesting domain expertise and aligned management control.

4. Due Diligence Notes:

• Verify the nature and terms of the long-term creditors to assess repayment risk and funding structure.
• Review cash flow statements (not provided) to evaluate actual liquidity and operational cash generation.
• Investigate customer base and contract stability given the company’s young age and small size.
• Confirm absence of director disqualifications or adverse conduct records beyond the provided data.
• Assess any contingent liabilities or off-balance sheet obligations not disclosed in the micro-entity accounts.