SAFEER E HUSSAIN ENTERPRISES PRIVATE LIMITED

Executive Summary

SAFEER E HUSSAIN ENTERPRISES PRIVATE LIMITED demonstrates a recent improvement in financial position after prior losses, but overall financial scale and working capital remain limited. The company is compliant with filing requirements and operates at a micro-entity level with minimal staff. Investors should be cautious of liquidity risks and governance concentration, conducting further due diligence on cash flows and business viability before commitment.

SAFEER E HUSSAIN ENTERPRISES PRIVATE LIMITED - Analysis Report

Company Number: 13645676

Analysis Date: 2025-07-20 13:48 UTC

1. Risk Rating: MEDIUM
   The company shows a recent return to positive net current assets and net assets after losses in prior years, which is a positive sign. However, the absolute values are small and volatility over the last three years indicates some financial instability. The micro-entity scale limits visibility into detailed financials but the limited working capital buffers and prior deficits present moderate solvency and liquidity concerns.

2. Key Concerns:

• Thin liquidity position: Current assets barely exceed current liabilities as of 2024 (£6,921 vs £6,385), providing a narrow working capital margin of £536. This limits the company’s ability to absorb cash flow shocks.
• Past negative net assets: The company reported net liabilities in 2021 and 2023, suggesting periods of insolvency or accumulated losses that may affect creditor confidence.
• Single director and shareholder control: The concentrated ownership and control by one individual increases governance risk and dependence on that person’s ongoing involvement and financial commitment.

3. Positive Indicators:

• Return to positive net assets in 2024: The company has improved from -£4,423 net assets in 2023 to +£536 in 2024, indicating a possible turnaround or capital injection.
• Compliance with filing deadlines: Accounts and confirmation statements are up to date, demonstrating regulatory compliance and good governance discipline.
• Stable employee base: Consistent employment of one person aligns with a micro-entity profile and controlled operating scale.

4. Due Diligence Notes:

• Verify the nature and source of the capital or income that led to the reversal of net asset position in 2024, to assess sustainability.
• Review cash flow statements and management accounts (if available) to better understand liquidity trends and operational cash generation.
• Assess the business model and market position in the retail mail order/internet sales sector (SIC 47910) for viability and growth prospects.
• Consider the risks related to single-person control and potential succession or continuity plans.