SOFTWARE LABS LIMITED

Executive Summary

SOFTWARE LABS LIMITED is a newly incorporated micro-entity operating in IT consultancy with minimal assets and a single director-owner. Early indications show compliance and a positive working capital position, but the limited financial history and scale warrant close monitoring of operational performance and governance. Further financial detail and director background checks are recommended to fully assess business sustainability and risk.

SOFTWARE LABS LIMITED - Analysis Report

Company Number: 14662431

Analysis Date: 2025-07-29 13:54 UTC

1. Risk Rating: LOW
   The company is very recently incorporated (February 2023) and classified as a micro-entity with minimal assets and liabilities. The small positive net current assets and no overdue filings suggest initial compliance and operational activity. The director owns 100% control, which simplifies governance but concentrates risk.

2. Key Concerns:

• Limited financial history and minimal scale: The company operates at a micro level with only £1,723 net assets, indicating a very small operational footprint and limited financial resilience.
• Single director and sole controller: Governance and decision-making are concentrated in one individual, which could pose risks if continuity or expertise issues arise.
• No detailed income or cash flow data available: The absence of profit and loss or cash flow statements limits insight into operational sustainability and liquidity beyond the balance sheet snapshot.

3. Positive Indicators:

• Compliance: The company has filed accounts and confirmation statements on time, evidencing regulatory compliance.
• Positive working capital: Current assets exceed current liabilities, indicating an ability to meet short-term obligations at the reporting date.
• Clear ownership structure: Sole control by one director/shareholder reduces complexity for investors evaluating management alignment.

4. Due Diligence Notes:

• Obtain detailed management accounts or financial projections to assess operational cash flow and profitability prospects.
• Verify the director’s experience and capacity to develop the business given the sole control and operational scale.
• Investigate the nature of current assets (e.g., cash vs. receivables) to confirm liquidity quality.
• Confirm no undisclosed related party transactions or contingent liabilities exist beyond the micro-entity filings.
• Monitor future filings for growth in assets, revenues, and workforce to assess operational stability.