Company Number: 13791033

Analysis Date: 2025-07-20 16:49 UTC

1. Risk Rating: HIGH
   Justification: SIMID CONSULTANCY LIMITED shows persistent negative net current assets and net liabilities, indicating financial distress and inability to cover short-term obligations. Minimal cash reserves and accumulated losses further exacerbate solvency concerns.

2. Key Concerns:

• Negative Working Capital: Current liabilities (£700) exceed current assets (cash £420), resulting in net current liabilities of £280 as of the latest accounts. This indicates potential liquidity risk.
• Consistent Losses: Losses have accumulated in the profit and loss reserve (-£283 in 2023, worsening from -£52 in 2022), reflecting operational unprofitability and erosion of shareholder equity.
• Minimal Asset Base and Cash: The company holds no significant fixed assets and only £420 cash at year end, limiting its ability to meet unexpected expenses or invest in growth.

3. Positive Indicators:

• Timely Filing and Compliance: The company is up to date with accounts and confirmation statement filings, indicating good regulatory compliance.
• Stable Management Control: The sole director and majority shareholder, Mrs. Sylvia Ozichi Nnadi, has maintained continuous and transparent control since incorporation.
• Micro-Entity Filing Status: As a micro-entity with only one employee, regulatory and audit burdens are minimal, potentially reducing overhead costs.

4. Due Diligence Notes:

• Investigate the company’s business model and revenue generation to understand the cause of persistent losses and whether there is a viable turnaround plan.
• Confirm the nature and timing of current liabilities to assess short-term cash flow pressures and any related party transactions.
• Assess if there are any contingent liabilities or off-balance-sheet obligations not disclosed in the abridged accounts.
• Verify if there have been any recent capital injections or shareholder support post year-end to improve liquidity.