SM SQUARE LIMITED

Executive Summary

SM SQUARE LIMITED is a newly established dormant company with nominal financials and no operational history, currently compliant with statutory requirements. While the lack of activity limits assessment of business viability, there are no immediate solvency or regulatory concerns. Further due diligence should focus on management capabilities and plans for commencement of trading to evaluate future risk exposure.

SM SQUARE LIMITED - Analysis Report

Company Number: 14942175

Analysis Date: 2025-07-20 15:18 UTC

1. Risk Rating: LOW

Justification: SM SQUARE LIMITED is a recently incorporated dormant private limited company with minimal financial activity. The company’s accounts indicate nominal net assets (£2) and cash (£1), reflecting no operational transactions or liabilities to date. Compliance filings are up to date with no overdue submissions, and the company is not in liquidation or administration.

2. Key Concerns:

• Lack of operational history or financial activity beyond nominal share capital and cash, providing no basis to assess business viability or revenue generation.
• Minimal net assets and cash holdings indicate zero financial buffer, which could pose solvency risk if the company were to commence operations without adequate capital.
• The company’s business activity (real estate letting) typically requires capital investment and ongoing operational management; dormant status means no current proof of sustainable business operations.

3. Positive Indicators:

• Company is fully compliant with statutory filing requirements, with recent accounts and confirmation statements filed on time.
• Directors have declared the company dormant and accounts prepared under the small companies regime, reducing complexity and indicating transparent governance.
• Ownership and control are clearly defined, with two directors/shareholders who have equal control and reside at the company address, suggesting straightforward management structure.

4. Due Diligence Notes:

• Investigate plans for activation of the company from dormant status, including funding sources and intended business operations.
• Review background and financial standing of the directors, particularly in relation to property development experience and financial capacity.
• Confirm absence of contingent liabilities or off-balance-sheet obligations not reflected in dormant accounts.