Company Number: 13936864

Analysis Date: 2025-07-19 12:25 UTC

1. Risk Rating: HIGH
   The company shows persistent negative net current assets and net liabilities since inception, indicating an inability to meet short-term obligations, which raises significant solvency and liquidity concerns.

2. Key Concerns:

• Negative Net Current Assets: The company reported net current liabilities of £16,391 as at 28 February 2024, worsening from £12,473 the prior year. This suggests ongoing cash flow and working capital deficits.
• No Employees and Limited Operating Activity: The company employed zero staff during both years reported, which may indicate minimal or no operational activity, questioning business sustainability.
• Minimal Current Assets: Current assets are very low (£3,645 in 2024), insufficient to cover immediate liabilities of over £20,000, indicating potential insolvency risk if creditors demand payment.

3. Positive Indicators:

• Compliance with Filings: The company is current on both accounts and confirmation statement filings, with no overdue submissions, reflecting regulatory compliance.
• Single Owner Control: Mrs. Afsheen Shahid holds 75-100% ownership and serves as director, which may simplify decision-making and capital support if needed.
• Micro-Entity Status: This reduces administrative burden and filing complexity, which may be appropriate for the company's scale.

4. Due Diligence Notes:

• Investigate the nature of liabilities and creditor arrangements to assess repayment terms or potential restructuring plans.
• Clarify the company’s business operations since no employees are reported yet classified under SIC code for food take-away shops; verify if the business is trading or dormant.
• Assess the director’s plans and financial support capacity given the negative equity and working capital position.
• Confirm if there are any contingent liabilities or off-balance sheet obligations not reflected in the accounts.
• Review cash flow statements or bank statements if available to understand liquidity trends beyond balance sheet snapshots.