RONYY UTILITIES LTD

Executive Summary

Ronyy Utilities Ltd demonstrates significant financial fragility with net assets reducing to a negligible £3 as of May 2024, indicating high solvency and liquidity risk. While statutory filings are current and the company remains active, the micro-entity scale and lack of operational substance raise concerns about business sustainability. Further due diligence on financial and operational status is essential before considering investment.

RONYY UTILITIES LTD - Analysis Report

Company Number: 14123052

Analysis Date: 2025-07-29 12:17 UTC

1. Risk Rating: HIGH
   The company shows extremely limited financial substance with net assets declining from £199 in 2023 to merely £3 in 2024. Such minimal asset bases raise significant concerns about the company’s ability to meet obligations. The absence of any fixed assets or substantive current assets beyond nominal cash equivalents heightens solvency risk.

2. Key Concerns:

• Minimal net assets and working capital: Net current assets have dropped drastically to £3, suggesting severe liquidity constraints and an inability to cover even modest liabilities.
• Micro-entity scale with negligible financial activity: The company qualifies as micro but with practically no operational scale, which questions business sustainability.
• Lack of financial detail and audit exemption: Being unaudited and filing under micro-entity exemptions limits transparency and increases information risk.

3. Positive Indicators:

• No overdue filings: Accounts and confirmation statements are up to date, indicating compliance with statutory filing requirements.
• Single controlling shareholder/director: Mr Renaldas Sienauskas has full control, which may facilitate swift decision-making and operational adjustments.
• Active status and ongoing incorporation: The company is active and not undergoing liquidation or administration.

4. Due Diligence Notes:

• Verify the nature and source of the nominal current assets and whether there are any undisclosed liabilities or off-balance sheet obligations.
• Obtain management accounts or cash flow forecasts to assess liquidity and working capital trends beyond the snapshot at year-end.
• Investigate the business model and revenue generation since incorporation in 2022, given the minimal financial footprint and declining net assets.
• Confirm the absence of related party transactions or advances that may not be reflected in the limited accounts.
• Review director background and any potential risks related to governance or operational capability.