Company Number: 13583767

Analysis Date: 2025-07-20 14:30 UTC

1. Risk Rating: LOW
   The company demonstrates a solid liquidity position with net current assets significantly positive and no overdue filings. The growth in net assets and shareholders' funds over two years indicates improving financial stability.

2. Key Concerns:

• Modest Share Capital: The issued share capital is minimal (£106), which is not unusual for a small private company but limits equity buffer against losses.
• Concentration of Control: Four individuals each hold 25-50% shareholding and voting rights, which could pose governance risks if disagreements arise.
• Limited Historical Financial Data: Incorporated in 2021, the company has a short operating history, limiting trend analysis and long-term viability assessment.

3. Positive Indicators:

• Strong Liquidity Position: Cash of £88,100 and net current assets of £82,950 as of latest accounts suggest good short-term solvency.
• Growing Net Assets: Net assets jumped from £21,096 in 2022 to £83,868 in 2023, indicating profitability or retained earnings accumulation.
• Compliance: No overdue accounts or confirmation statements; filings are up to date as of mid-2024.
• Employee Growth: Increase in average employees from 3 to 9 suggests business expansion.

4. Due Diligence Notes:

• Investigate Revenue and Profitability Trends: Although turnover was £147,460 in 2022, profit and loss details are not included; confirm profitability and cash flow sustainability.
• Examine Director Changes: One director resigned in May 2024 and another appointed; understand reasons and impact on governance.
• Review Related Party Transactions: Directors share addresses and significant control; check for any related party dealings or conflicts of interest.
• Confirm Contractual Customer Base: Given the SIC code (employment placement agency), verify client diversity and contract stability to assess revenue risk.