SANDBOX SOLUTIONS LTD

Executive Summary

Sandbox Solutions Ltd is a micro-entity with modest financial resources but currently solvent and compliant with filing requirements. The company shows improving liquidity and no immediate regulatory concerns. However, its small scale, reliance on a single director/employee, and limited capital warrant close monitoring for operational risks.

SANDBOX SOLUTIONS LTD - Analysis Report

Company Number: 13103747

Analysis Date: 2025-07-20 11:13 UTC

1. Risk Rating: LOW to MEDIUM
   The company demonstrates positive net current assets and net assets as of the latest financial year, indicating solvency. However, the absolute values are small, reflecting a micro-entity scale with limited financial buffer.

2. Key Concerns:

• Limited Financial Scale: The company has very modest net assets (£1,116 in 2023) and share capital (£2), which suggests limited financial resources to absorb shocks or expand operations.
• Fluctuating Working Capital: The net current assets improved from a negative or minimal position in prior years to a positive £1,116 in 2023, but the amounts remain low, which could indicate tight liquidity.
• Single Director and Employee: The business depends heavily on one individual (director and sole employee), which may present operational risks and concerns over continuity and governance.

3. Positive Indicators:

• Filing Compliance: The company is up to date with both accounts and confirmation statement filings, showing good regulatory compliance.
• Improved Liquidity: The latest accounts show an improvement in net current assets relative to prior years, suggesting better short-term financial health.
• No Indication of Insolvency or Liquidation: The company is active with no signs of distress such as overdue filings, liquidation, or administration.

4. Due Diligence Notes:

• Financial Trends: Review detailed financial history beyond the summary to assess stability and any unusual fluctuations in assets or liabilities.
• Business Model and Revenue Streams: Understand the nature of "Other service activities not elsewhere classified" and "Other professional, scientific and technical activities" to assess operational sustainability.
• Director Background: Confirm qualifications and track record of the sole director to evaluate management quality and potential risks linked to single-person governance.
• Cash Flow Analysis: Investigate cash flow statements if available to verify liquidity beyond balance sheet snapshots.
• Contingent Liabilities or Off-Balance Sheet Items: Check for any undisclosed liabilities or commitments not reflected in the micro-entity accounts.