Company Number: 13158524

Analysis Date: 2025-07-29 20:57 UTC

1. Risk Rating: HIGH
   The company exhibits significant solvency risk as evidenced by net current liabilities and net assets being negative (£-2,137) as of the latest financial year end. The extremely limited current assets (£4) compared to current liabilities (£2,141) highlight liquidity concerns. The micro-entity status and very small scale (one employee) may limit operational resilience.

2. Key Concerns:

• Negative net assets and net current assets, indicating insolvency on a balance sheet basis.
• Minimal current assets relative to liabilities, suggesting potential cash flow stress.
• Very small scale operation with only one employee and minimal share capital, increasing vulnerability to operational disruptions.

3. Positive Indicators:

• The company is active and compliant with filing deadlines; no overdue accounts or confirmation statements.
• Director has maintained continuity since incorporation, suggesting stable governance at a basic level.
• Exemption from audit under micro-entity provisions reduces administrative burden and cost.

4. Due Diligence Notes:

• Investigate the nature and timing of creditors amounting to £2,141 to assess if these are trade payables, loans, or accrued expenses and the company’s plan for settlement.
• Review cash flow statements or management accounts (not provided) to understand liquidity management and operational cash generation.
• Clarify business model sustainability and revenue generation given minimal assets and employee base.
• Confirm if there are any related party transactions or contingent liabilities not visible from the accounts.
• Assess director’s plans for recapitalization or restructuring to mitigate negative equity.