SBMT INVESTMENT LTD

Executive Summary

SBMT Investment Ltd exhibits a weakening financial position marked by a significant drop in net assets and cash reserves in the last reported year. While compliance with statutory filings and clear ownership structure are positive, limited liquidity and lack of profitability detail raise concerns regarding short-term solvency and operational sustainability. Further financial analysis and cash flow assessment are recommended to clarify risk exposure.

SBMT INVESTMENT LTD - Analysis Report

Company Number: 13734447

Analysis Date: 2025-07-29 16:28 UTC

1. Risk Rating: MEDIUM

Justification: The company shows a significant decline in net current assets and shareholders' funds from £14,350 in 2022 to £1,287 in 2023, indicating a deterioration in financial position. Cash reserves are low (£5,079 in 2023) relative to current liabilities (£3,842), suggesting limited liquidity buffer. However, there are no overdue filings or signs of insolvency proceedings, and the company remains active with a single director controlling 100% of voting rights.

2. Key Concerns:

• Sharp reduction in net current assets and shareholders' funds over the last year, which may indicate operational losses or capital withdrawals.
• Low cash balance relative to current liabilities, potentially constraining the company’s ability to meet short-term obligations.
• Absence of an income statement and audit exemption limits insight into profitability and underlying operational performance.

3. Positive Indicators:

• The company is fully compliant with statutory filing deadlines, with no overdue accounts or confirmation statements.
• Sole director and 100% shareholder control provides clear governance structure without apparent conflicts.
• The company holds a nominal investment asset (£50) suggesting some capitalisation beyond cash.

4. Due Diligence Notes:

• Review detailed profit and loss information (if available) to understand causes of the decline in net assets and cash.
• Investigate the nature of current liabilities and whether they include related-party balances or short-term loans.
• Assess the company's future cash flow projections and funding plans to evaluate ongoing liquidity.
• Confirm absence of director disqualifications or regulatory sanctions related to governance.
• Understand the business model under SIC code 64999 and sustainability of revenue streams in financial intermediation activities.