Company Number: SC709474

Analysis Date: 2025-07-20 18:05 UTC

1. Risk Rating: HIGH
   The company exhibits a precarious financial position characterized by net current liabilities and minimal net assets. The absence of employees and very limited turnover further heighten operational risk.

2. Key Concerns:

• Negative Working Capital: As of 30 September 2024, net current assets stand at -£813, indicating an inability to cover short-term liabilities with current assets, posing liquidity risk.
• Minimal Net Assets: Shareholders' funds are only £80, suggesting extremely thin equity buffer against operational or financial shocks.
• Lack of Operational Scale: The company reports no employees and very low turnover (~£6,000), raising questions about sustainable revenue generation and business viability.

3. Positive Indicators:

• No Overdue Filings: Both accounts and confirmation statements are filed on time, indicating compliance with statutory obligations.
• No Indications of Insolvency Proceedings: The company is active and not in liquidation, administration, or receivership.
• Micro-Entity Reporting: The company benefits from simplified reporting and exemption from audit, reducing administrative burden.

4. Due Diligence Notes:

• Cash Flow Analysis: Detailed review of cash inflows and outflows to understand liquidity constraints and potential funding gaps.
• Creditor Profile: Investigation into the nature and maturity of creditors, especially the £957 due after more than one year, to assess repayment risk.
• Business Model and Revenue Sources: Clarify how the company generates income with no employees and minimal turnover to assess sustainability.
• Director Background: Evaluate director’s experience and any associated companies to understand management capability and potential related-party transactions.