RED BATTERY MONITORING SERVICES LIMITED

Executive Summary

Red Battery Monitoring Services Limited demonstrates solid financial health with increasing net assets and strong liquidity, supported by timely regulatory compliance. While its micro-entity status limits scale, the company appears operationally stable with no immediate solvency concerns. Further due diligence on recent asset growth and governance changes is recommended to ensure ongoing risk mitigation.

RED BATTERY MONITORING SERVICES LIMITED - Analysis Report

Company Number: 13261367

Analysis Date: 2025-07-20 14:59 UTC

1. Risk Rating: LOW
   The company exhibits a strong net asset position with positive and improving net current assets, no overdue filings, and stable operational headcount. These factors suggest sound solvency and liquidity for its size and stage.

2. Key Concerns:

• Limited scale of operations as a micro-entity may restrict access to capital and market opportunities.
• Relatively small share capital (£2.00) may indicate limited equity buffer against unexpected losses.
• Recent changes in director appointments late in 2023 warrant review for continuity and governance stability.

3. Positive Indicators:

• Consistent growth in net assets from £48k in 2021 to £179k in 2024 reflects increasing financial strength.
• Robust net current assets of £125k as of March 2024 demonstrate good short-term liquidity.
• Compliance with filing requirements is up to date, indicating good regulatory adherence.
• Stable employee base of 8 staff suggests operational continuity.

4. Due Diligence Notes:

• Investigate the nature of the significant increase in current assets from £71k in 2023 to £225k in 2024 to understand cash flow and working capital components.
• Review director backgrounds and any changes in ownership or control related to the new appointees in late 2023 to assess governance risks.
• Evaluate underlying business model sustainability given the company's classification under diverse SIC codes including IT services and construction installations.
• Confirm no contingent liabilities or off-balance sheet risks exist that could impact solvency.