SKR DYNAMICS LTD

Executive Summary

SKR DYNAMICS LTD is a recently formed private limited company that has remained dormant with no financial activity or assets reported since incorporation. While it complies with statutory filing requirements, the absence of operations or financial substance presents a high risk profile due to uncertain solvency, liquidity, and operational viability. Further due diligence is required to understand management intentions and potential future business activities.

SKR DYNAMICS LTD - Analysis Report

Company Number: 13798283

Analysis Date: 2025-07-29 18:57 UTC

1. Risk Rating: HIGH

Justification: SKR DYNAMICS LTD has reported zero financial activity, assets, liabilities, or equity over the last three years, filing dormant accounts consistently. It is a very recently incorporated private limited company (incorporated December 2021) with no operating history or financial transactions. The absence of assets, liabilities, or any recorded income or expenses indicates that the company is currently non-operational. This suggests an inability to meet financial obligations or generate cash flow, presenting a high solvency and liquidity risk.

2. Key Concerns:

• Dormant Status: The company has filed dormant accounts for the last two years, indicating no trading activity or income generation, which raises concerns over operational viability and sustainability.
• Lack of Financial Substance: Zero assets, liabilities, or equity reported means there is no financial buffer or working capital, increasing risk if business operations commence without adequate funding.
• Recent Director Changes: A new director was appointed in May 2024, and a company name change occurred in July 2024, which may indicate restructuring or strategic shifts requiring further scrutiny to understand future business plans and associated risks.

3. Positive Indicators:

• Compliance: The company is up to date with filing of dormant accounts and confirmation statements, showing adherence to statutory requirements, which reduces regulatory compliance risk.
• Clear Ownership: Two directors/shareholders each hold 25-50% control, providing transparency in governance and decision-making.
• No Overdue Filings or Penalties: All key documents filed on time, suggesting basic operational governance is maintained.

4. Due Diligence Notes:

• Investigate the rationale for dormancy and any plans for commencement or resumption of trading activity, including source of initial or future funding.
• Review backgrounds and track records of directors, especially the recently appointed one, to assess management capability and intent.
• Confirm there are no undisclosed liabilities, contingent obligations, or related party transactions that might impact financial stability once trading begins.
• Clarify the reason for the recent name change and any impact on business strategy or market positioning.
• Seek evidence of any business contracts, assets, or intellectual property not reflected in dormant accounts.