Company Number: 14527405

Analysis Date: 2025-07-29 14:03 UTC

1. Risk Rating: HIGH
   The company exhibits significant solvency and liquidity concerns with negative net assets and current liabilities greatly exceeding current assets. It is a very young entity with no turnover and accumulated losses, which heightens risk.

2. Key Concerns:

• Solvency risk: Net current liabilities of £35,676 and net assets of £-35,676 indicate inability to meet short-term obligations from existing resources.
• No revenue generation: Zero turnover for the first financial period implies no operating cash inflows to support ongoing costs.
• Reliance on director and external funding: Interest receivable of £13,500 mitigates losses but sustainability depends on continued external finance or fundraising.

3. Positive Indicators:

• Active status and compliance: No overdue filings or accounts, demonstrating good governance and regulatory adherence to date.
• Community interest company structure: Focus on social impact with community engagement and external funding partnerships (Bolton Council, CVS).
• Director control and stability: Single director with full voting rights provides clear leadership oversight.

4. Due Diligence Notes:

• Examine nature and sources of creditors (£41,915 other creditors) to assess repayment terms and risk of enforcement action.
• Investigate plans and pipeline for generating turnover to move towards operational self-sufficiency.
• Review cash flow forecasts and funding commitments to understand how working capital deficits will be managed.
• Confirm the status and reliability of external funding and grants referenced in the community interest report.
• Assess any contingent liabilities or off-balance-sheet obligations not disclosed in current accounts.