Company Number: 14653561

Analysis Date: 2025-07-29 16:38 UTC

1. Risk Rating: HIGH
   The company exhibits a high-risk profile primarily due to its negative net assets and current liabilities exceeding current assets, indicating solvency and liquidity concerns in its first full financial year.

2. Key Concerns:

• Negative Net Assets (£-2,462): The company’s total liabilities exceed its total assets, undermining its solvency and indicating potential financial distress.
• Negative Working Capital (Net Current Assets £-2,462): Current liabilities (£10,055) surpass current assets (£7,593), which may impair the company’s ability to meet short-term obligations.
• Early Stage with Limited Financial History: Incorporated in February 2023, the company has only one full year of financial data, restricting assessment of operational sustainability and financial trends.

3. Positive Indicators:

• Compliance with Filings: No overdue accounts or confirmation statements, demonstrating regulatory compliance and good governance to date.
• Active Online Presence: Operates an active website focused on eco-friendly pet products, suggesting engagement in a growing niche market with potential for growth.
• Sole Director and PSC Alignment: The sole director and person of significant control is the same individual, streamlining decision-making and accountability.

4. Due Diligence Notes:

• Cash Flow Analysis: Investigate detailed cash flow statements or management accounts to assess liquidity beyond the snapshot balance sheet data.
• Business Model Viability: Review sales performance and market reception of the eco-friendly pet products to evaluate operational sustainability and growth prospects.
• Director Background: Conduct background checks on the sole director for any past adverse records or disqualifications that might pose governance risks.
• Debt Structure: Clarify nature and terms of current liabilities (£10,055) to understand repayment obligations and creditor relationships.