Company Number: 13162811

Analysis Date: 2025-07-20 12:13 UTC

1. Risk Rating: MEDIUM
   The company's financial position shows constrained liquidity and minimal net assets, indicating potential challenges in meeting short-term obligations despite continued active status and compliance with filing deadlines.

2. Key Concerns:

• Negative net current assets: The company has current liabilities (£38,378) exceeding current assets (£29,477) by £8,901 as of the latest financial year, indicating short-term liquidity pressure.
• Low net assets and shareholders' funds: Net assets have declined sharply from £1,333 in 2023 to £172 in 2024, signaling limited financial buffer and potential erosion of equity.
• Director’s advances: The director’s loan account balance increased to £20,577, which may reflect reliance on director funding for working capital; this could signal cash flow constraints.

3. Positive Indicators:

• Timely filing: Both annual accounts and confirmation statements are up to date with no overdue filings, indicating regulatory compliance and good governance practices.
• Business continuity: The company remains active since incorporation in 2021, with no indication of insolvency proceedings or liquidation.
• Increasing fixed assets: Fixed assets grew from £25,390 in 2023 to £40,924 in 2024, possibly reflecting investment in operational capacity or equipment.

4. Due Diligence Notes:

• Investigate the nature and terms of the director’s loans to understand potential repayment risks or impact on solvency.
• Review cash flow statements (not provided) to assess operational cash generation and working capital management.
• Clarify the company's revenue and profitability trends given the limited data, to better gauge sustainability.
• Confirm if there are any contingent liabilities or off-balance-sheet obligations not reflected in the filings.
• Evaluate the business model and market position in the quantity surveying sector to assess future viability.