Company Number: 12861405

Analysis Date: 2025-07-20 17:47 UTC

1. Risk Rating: HIGH
   The company exhibits significant solvency and liquidity concerns as evidenced by persistent negative net current assets and shareholders’ funds over multiple years. The scale of current liabilities relative to minimal current assets indicates an inability to meet short-term obligations without external support.

2. Key Concerns:

• Negative Net Current Assets: The company’s current liabilities (£6,538 as of 31 Dec 2023) substantially exceed its current assets (£58), indicating a working capital deficit and poor liquidity.
• Consistent Net Liabilities: Shareholders’ funds have been negative and worsening over the last three reported periods (from -£1,390 in 2020 to -£6,480 in 2023), reflecting accumulated losses or funding gaps.
• No Employees or Trading Activity: The company reports zero employees and exclusion of a profit and loss account in filings suggests minimal or no trading activity, raising concerns about operational sustainability and revenue generation.

3. Positive Indicators:

• Compliance with Filing Requirements: Accounts and confirmation statements are up to date and not overdue, indicating regulatory compliance and governance diligence.
• Clear Ownership and Control: Ownership is transparent, with a named PSC and active director, which may facilitate accountability.
• Micro Entity Status: The company benefits from simplified reporting, which could reduce administrative burden and associated costs.

4. Due Diligence Notes:

• Investigate the nature of the liabilities and whether they are trade creditors, loans from related parties, or contingent liabilities.
• Assess the company's business model and revenue streams given the absence of employees and no P&L account filed.
• Clarify the relationship and support provided by the controlling shareholder (High Five Management Services Limited) and whether ongoing funding or guarantees exist.
• Review any recent or planned strategic changes to improve financial health or operational viability.
• Confirm if the company is dormant or has ceased trading despite active registration to understand future prospects.