Company Number: 14738338

Analysis Date: 2025-07-29 13:07 UTC

1. Risk Rating: HIGH
   The company presents a high-risk profile primarily due to significant negative net current assets and shareholders' funds, indicating solvency stress and potential difficulty meeting short-term obligations.

2. Key Concerns:

• Negative Net Current Assets: With current liabilities (£108,213) vastly exceeding current assets (£22,110), the company shows a working capital deficit of £86,103, raising liquidity concerns.
• Shareholders' Deficit: Equity stands at negative £81,531, indicating accumulated losses or undercapitalisation, which undermines financial stability.
• Recent Director Resignation: One of three directors resigned recently (October 2024), potentially signalling internal governance or operational issues, although this requires further context.

3. Positive Indicators:

• Compliance: The company is up to date with filings, including accounts and confirmation statements, demonstrating regulatory compliance and governance attention.
• Going Concern Statement: Directors assert a going concern basis supported by financial backing, which may mitigate immediate solvency concerns if substantiated.
• Initial Asset Investment: The company has tangible fixed assets (£4,572) indicating some capital investment in operational capacity.

4. Due Diligence Notes:

• Verify the nature and source of "other creditors" (£75,931), which constitute the bulk of liabilities, to assess creditor concentration, terms, and risk of enforcement.
• Confirm the directors’ financial backing referenced in the going concern statement, including any personal guarantees or capital injections planned.
• Investigate the reasons behind the director’s resignation and any impact on company strategy or control.
• Obtain detailed turnover and profitability data as these are not included due to exemption, to better assess operational sustainability and cash flow generation.
• Review cash flow projections and banking arrangements to evaluate short-term liquidity management.