Company Number: 14402501

Analysis Date: 2025-07-20 14:08 UTC

1. Risk Rating: MEDIUM
   The company is a recently incorporated micro-entity with modest net assets (£8,750) and a small scale of operations (4 employees). While it is not overdue on filings and shows positive net current assets, the presence of £10,000 creditors due after one year and limited capitalization suggests moderate solvency risk.

2. Key Concerns:

• Long-term liabilities: £10,000 creditors due after more than one year may pressure future cash flows and require scrutiny of repayment terms.
• Limited financial history: Incorporated in late 2022 with only one set of accounts filed, limiting ability to assess trends and operational stability.
• Concentration of control: Single director and 75-100% shareholder control may pose governance risks and lack of oversight.

3. Positive Indicators:

• Current assets exceed current liabilities: Net current assets of £6,750 indicate short-term liquidity is sufficient at the reporting date.
• No overdue filings: Compliance with both accounts and confirmation statement deadlines reduces regulatory risk.
• Micro-entity status: Simplified reporting and presumably limited complexity in operations reduce administrative burdens.

4. Due Diligence Notes:

• Review the nature and terms of the £10,000 long-term creditors to assess repayment risk and impact on liquidity.
• Obtain more detailed cash flow information and projections to verify ongoing operational sustainability.
• Investigate the background and track record of the director/shareholder to assess governance and management quality.
• Monitor future filings for revenue growth, profitability, and working capital trends as the business matures.