RUTHERFORD'S CUSTOM BUILT LTD

Executive Summary

Rutherford's Custom Built Ltd is currently exhibiting a high risk profile due to negative net assets and a significant shortfall in current assets relative to liabilities, indicating potential solvency and liquidity challenges. While the company remains compliant with filing requirements and has stable directorship, the financial position raises concerns about operational sustainability and financial stability. Further due diligence on creditor composition, cash flow, and business viability is recommended before considering investment.

RUTHERFORD'S CUSTOM BUILT LTD - Analysis Report

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.