SCORPIUS CONSULTING LTD

Executive Summary

Scorpius Consulting Ltd appears financially stable with solid liquidity and compliance records relative to its micro-entity status and short operating history. The principal risks stem from director loan exposure and single-person control, which warrant further operational and governance review. Overall, the company presents a low risk profile for investors at this stage.

SCORPIUS CONSULTING LTD - Analysis Report

Company Number: 13951176

Analysis Date: 2025-07-20 15:20 UTC

1. Risk Rating: LOW
   Justification: Scorpius Consulting Ltd demonstrates a strong net asset position with positive working capital and no overdue filings. The company is a micro-entity with modest but improving financial metrics, indicating low immediate financial distress risk.

2. Key Concerns:

• Director Loan: The company has an unsecured, interest-free, repayable-on-demand director loan of £9,697, which could pose a liquidity risk if repayment is demanded unexpectedly.
• Reliance on a Single Director/Shareholder: The company is wholly owned and controlled by one individual, which may increase operational and governance risk due to lack of diversification in management.
• Limited Financial History and Scale: Incorporated in 2022, the company has a very short operating history and small scale, which may limit its operational resilience and market presence.

3. Positive Indicators:

• Strong Net Current Assets: The company’s net current assets improved significantly from £5,508 in 2023 to £38,724 in 2024, indicating good short-term liquidity.
• No Overdue Filings: The company has complied with statutory filing deadlines for both accounts and confirmation statements, reducing regulatory risk.
• Positive Net Assets Growth: Net assets increased from £6,614 to £39,277 within one year, reflecting growth and retention of earnings or capital injection.

4. Due Diligence Notes:

• Verify the nature and terms of the director loan, including any plans for repayment and its impact on cash flow.
• Assess the company’s revenue streams, client base, and contracts to understand operational sustainability beyond the balance sheet.
• Review any related-party transactions or dependencies linked to the sole director to evaluate governance and conflict of interest risks.
• Confirm the accuracy of the micro-entity financial statements and review any underlying management accounts if available.