RM POWER & E-MOBILITY SOLUTION LIMITED
Executive Summary
RM POWER & E-MOBILITY SOLUTION LIMITED is a newly established micro company with a modest but positive financial position and good compliance history. While its limited operational history and small asset base warrant close monitoring, there are no immediate solvency or regulatory concerns. Further due diligence on the directors’ capabilities and business strategy is recommended to assess long-term sustainability.
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This analysis is opinion only and should not be interpreted as financial advice.
RM POWER & E-MOBILITY SOLUTION LIMITED - Analysis Report
- Risk Rating: LOW
Justification: RM POWER & E-MOBILITY SOLUTION LIMITED is a recently incorporated micro private limited company with a positive net current asset position and no overdue filings. The company demonstrates initial financial stability and compliance with statutory obligations, indicating low immediate solvency or liquidity risks.
- Key Concerns:
- Limited Financial History: Incorporated in August 2023, the company has only one year of unaudited financials, which constrains the ability to assess longer-term operational sustainability.
- Minimal Asset and Working Capital Base: Current assets of £3,740 and net assets of £1,700 are modest, suggesting limited financial cushion to absorb unexpected costs or delays in cash flow.
- Single Employee and Directors’ Background: There is only one reported employee and one director listed as unemployed, which could impact operational capacity and management expertise, though this is not necessarily a red flag without further context.
- Positive Indicators:
- Compliance: No overdue accounts or confirmation statement filings; next deadlines are well in the future, indicating good regulatory compliance.
- Positive Working Capital: Net current assets of £2,000 show the company can currently meet short-term obligations.
- Clear Ownership and Control: Two directors/shareholders with documented significant control, reducing risks associated with opaque governance.
- Due Diligence Notes:
- Verify the business plan and projections given the limited operating history and minimal asset base.
- Assess the directors’ experience and capacity to execute the company’s engineering consulting activities effectively.
- Confirm the company’s cash flow arrangements and funding sources to ensure liquidity beyond the initial period.
- Monitor future financial statements for growth trends, profitability, and any emerging liabilities.
- Check for any related party transactions or dependencies not disclosed in the micro-entity accounts.
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