Company Number: 14174432

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

1. Risk Rating: HIGH
   The company shows significant deterioration in financial position within two years from positive net assets to negative net assets and net current liabilities, indicating solvency risk.

2. Key Concerns:

• Negative shareholders' funds (£-760) at the most recent year end, down from positive £663 previously, signaling accumulated losses or increased liabilities.
• Net current liabilities of £762, implying the company may struggle to meet short-term obligations from current assets.
• Director’s advances increased substantially to £6,443, which may reflect reliance on director loans for liquidity; this can be a risk if not formalized or repaid.

3. Positive Indicators:

• Company is current with all statutory filings and accounts, indicating compliance with regulatory requirements.
• Ownership and control are concentrated with a single director/shareholder, which can facilitate decisive governance and quick decision-making.
• Micro entity status limits filing complexity and audit requirements, reducing administrative burden.

4. Due Diligence Notes:

• Investigate the nature and terms of the director’s advances, including repayment plans and any potential impact on company solvency.
• Review the company’s cash flow projections and business model viability given the negative working capital situation and zero employees.
• Assess the company’s revenue streams and operational status since no employees were reported and financial statements do not include profit/loss detail.
• Confirm if the company has any contingent liabilities or off-balance sheet obligations not reflected in the accounts.