Company Number: 14470192

Analysis Date: 2025-07-20 11:34 UTC

1. Risk Rating: HIGH
   The company exhibits significant solvency and liquidity risk due to a net liability position and a large overdraft of current liabilities relative to current assets, despite holding substantial fixed assets.

2. Key Concerns:

   • Negative Net Assets and Shareholders' Funds: The company shows net liabilities of £4,465, indicating that total liabilities exceed total assets, which is a critical solvency warning.
   • Severe Working Capital Deficit: Current liabilities (£734,880) far exceed current assets (£39,932), resulting in negative net current assets of approximately £695k. This suggests potential difficulties in meeting short-term obligations as they fall due.
   • High Long-Term Debt Relative to Assets: Creditors due after one year total £355,162 against fixed assets of £1,045,645; while fixed assets appear substantial, the company has not demonstrated sufficient liquidity or equity buffer.

3. Positive Indicators:

   • Substantial Investment Properties Asset Base: The company holds tangible fixed assets valued at over £1 million, indicating potential underlying value in investment properties.
   • No Overdue Filings: The company is current with both its accounts and confirmation statement filings, reflecting compliance with statutory requirements.
   • Single Controlling Shareholder with Directorship: Clear ownership and management structure may facilitate swift decision-making.

4. Due Diligence Notes:

   • Valuation and Liquidity of Investment Properties: Confirm the market valuation and liquidity of the fixed assets to assess their potential to cover liabilities if realization is necessary.
   • Nature and Terms of Creditors: Examine the composition and repayment terms of the substantial current and long-term liabilities, including whether any are secured or subject to default risks.
   • Cash Flow and Funding Sources: Investigate the company’s operational cash flows, funding structure, and any plans or agreements in place to address the working capital deficit.
   • Profit and Loss Details: Though not filed, review internal management accounts or P&L statements to understand operational performance and profitability trends.
   • Director’s Plans and Background: Assess the director’s strategy for stabilizing financial position and any relevant experience managing similar financial structures.