Company Number: 12500730

Analysis Date: 2025-07-19 12:23 UTC

1. Risk Rating: HIGH
   Justification: The company shows very low net asset value (£54 in 2024, down from £122 in 2023) and negative net current assets (-£1,404 in 2024), indicating liabilities exceed short-term assets. This suggests potential solvency and liquidity risks. Additionally, no employees are recorded, implying minimal operational scale.

2. Key Concerns:

• Negative Working Capital: Current liabilities exceed current assets by a significant margin, which could impair the company’s ability to meet short-term obligations.
• Minimal Equity Base: Shareholders’ funds are very low (£54), indicating limited capital buffer to absorb losses or fund growth.
• Operational Scale: The company reports zero employees, raising questions about its operational capacity and sustainability in delivering plumbing and heating services.

3. Positive Indicators:

• Compliance: The company is active, with no overdue filings for accounts or confirmation statements, reflecting good regulatory compliance.
• Consistent Reporting: Accounts have been filed consistently since incorporation, suggesting stable governance practices.
• Established Director: A single director has been in place since incorporation, providing continuity in management.

4. Due Diligence Notes:

• Investigate the nature of current liabilities and the company's strategy to address its negative working capital position.
• Clarify how the company delivers its services without employees—whether through subcontractors or other arrangements.
• Review turnover and cash flow data (not provided) to assess revenue generation and liquidity more fully.
• Examine any contractual arrangements or contingent liabilities that may impact financial stability.
• Confirm whether the low share capital (£1.00) is sufficient relative to operational risk and trading requirements.