SAM AND BOCA BUILDERS LTD

Executive Summary

SAM AND BOCA BUILDERS LTD presents a high-risk profile primarily due to a negative net asset position driven by significant long-term liabilities exceeding its small asset base. The absence of employees and minimal operational scale raise concerns about sustainable business activity. However, the company maintains regulatory compliance and clear ownership, warranting further due diligence on creditor terms and operational model before investment consideration.

SAM AND BOCA BUILDERS LTD - Analysis Report

Company Number: 14149807

Analysis Date: 2025-07-29 20:16 UTC

1. Risk Rating: HIGH
   The company exhibits a significantly negative net asset position (£-5,685) as of June 2024 due to substantial long-term liabilities (£10,645) exceeding total assets, indicating solvency concerns. The small scale of current assets (£2,991) relative to current liabilities (£2,031) also points to liquidity pressures despite reported positive net current assets of £960. Absence of employees and minimal fixed assets further question operational sustainability.

2. Key Concerns:

• Negative Net Assets: The balance sheet shows total net liabilities of £5,685, which is a red flag for solvency and may restrict borrowing or credit availability.
• Long-term Creditors: Creditors due after more than one year total £10,645, which greatly outweighs tangible assets, suggesting potential repayment difficulties.
• No Employees and Limited Operating Scale: Zero employees over the reported periods and minimal fixed assets raise questions about the company's operational capacity and revenue generation, indicating possible reliance on subcontractors or minimal activity.

3. Positive Indicators:

• Timely Filing and Compliance: Accounts and confirmation statements are up to date with no overdue filings, indicating good regulatory compliance.
• Clear Ownership and Control: Majority ownership and control are transparently held by Mr. Daniel Boca, reducing governance ambiguity.
• Active Status: The company is currently active and not under any insolvency procedures.

4. Due Diligence Notes:

• Investigate the nature and terms of the £10,645 long-term creditors to assess repayment schedules and obligations.
• Clarify the company's revenue model, client base, and whether subcontractors are utilized given no employees are recorded.
• Review cash flow statements and bank reconciliations if available to better understand liquidity beyond balance sheet snapshots.
• Assess any contingent liabilities or off-balance sheet commitments that may impact financial stability.
• Confirm if there have been any director or shareholder loans contributing to liabilities.
• Evaluate the impact of the company's SIC codes (demolition, domestic building construction, non-hazardous waste collection) on operating risks and market conditions.