SPOOG LIMITED

Executive Summary

Spoog Limited presents a high risk profile due to sustained negative net assets and working capital deficits, combined with dormant status and minimal cash resources. While regulatory compliance is maintained, the financial data indicates significant solvency and liquidity concerns, warranting thorough investigation into its operational status and financial strategy. Investors should exercise caution and seek clarifications on fundamental business viability before engagement.

SPOOG LIMITED - Analysis Report

Company Number: 13143456

Analysis Date: 2025-07-20 16:17 UTC

1. Risk Rating: HIGH
   The company exhibits significant solvency risks evidenced by persistent net liabilities and negative working capital over multiple years. The absence of turnover and minimal cash reserves further amplify concerns about financial stability.

2. Key Concerns:

• Persistent Negative Net Assets and Working Capital: The company’s net liabilities increased from -£1,528 in 2022 and 2023 to -£2,314 in 2024, indicating deteriorating financial health. Negative net current assets highlight an inability to meet short-term obligations with current assets.
• Dormant Status with Minimal Financial Activity: Classified as dormant, the company reported negligible cash (£2) and no revenue generation, raising questions about operational viability and sustainability.
• High Current Liabilities Relative to Assets: Creditors due within one year increased to £2,582 in 2024 from £1,796 in prior years, while current assets remained static at £268, suggesting liquidity pressures and potential difficulty in meeting debts as they fall due.

3. Positive Indicators:

• Timely Filing Compliance: The company is current with its accounts and confirmation statement filings, indicating good regulatory compliance and governance practices.
• Stable Director and Ownership Structure: The two directors and PSCs have maintained consistent roles since incorporation, which may support operational continuity.
• No Indications of Insolvency Proceedings: The company is active and not currently in liquidation, administration, or receivership, which provides some operational stability.

4. Due Diligence Notes:

• Investigate the nature of the debts classified as current liabilities to understand their composition and urgency.
• Clarify the company’s business activities given its dormant status and the apparent discrepancy with its website description indicating active trading in luxury products and financial investments.
• Review director intentions and strategic plans to address negative net assets and working capital deficits, including any capital injection or restructuring plans.
• Assess the accuracy and completeness of debtor balances (£266) and whether these are recoverable or related party transactions.
• Confirm whether there are any contingent liabilities or off-balance-sheet obligations not reflected in the accounts.