Company Number: 14540290

Analysis Date: 2025-07-20 13:48 UTC

1. Risk Rating: HIGH
   Justification: The company shows significant net current liabilities (£-7,930) and negative net assets, indicating insolvency risk. As a micro entity incorporated recently (Dec 2022), with only one set of financials available, it has not demonstrated financial stability or operational profitability yet.

2. Key Concerns:

• Negative net current assets and net liabilities suggest inability to meet short-term obligations without additional financing.
• Very limited operating history (less than 2 years) reduces visibility on sustainable business performance or cash flow generation.
• Only one director and sole shareholder controls 75-100% of shares and voting rights, which concentrates control and may limit external oversight.

3. Positive Indicators:

• The company is compliant with filing requirements; both accounts and confirmation statement are up to date and not overdue.
• The active website and registered address indicate operational presence in the licensed restaurant sector.
• The director has confirmed exemption from audit, consistent with micro entity status, reducing compliance burden.

4. Due Diligence Notes:

• Investigate cash flow sources and any external funding or related party loans that support current liabilities coverage.
• Review trading performance since incorporation, including turnover and gross margin, to assess viability.
• Understand the director’s plans for addressing the negative equity position and timeline for achieving profitability.
• Confirm no hidden contingent liabilities or related party transactions that may impair financial position further.
• Assess market positioning and competitive landscape of the licensed restaurant to gauge sustainability.