STF CONSULTING LTD

Executive Summary

STF Consulting Ltd is a newly established micro-entity with positive net assets but marginally strained liquidity indicated by current liabilities slightly exceeding current assets. While compliant with filings and maintaining a lean structure, the company’s limited operational history and concentrated ownership warrant close monitoring of cash flow and governance practices. Further due diligence is recommended to clarify short-term liquidity and operational sustainability.

STF CONSULTING LTD - Analysis Report

Company Number: 14836895

Analysis Date: 2025-07-29 15:06 UTC

1. Risk Rating: MEDIUM
   The company is newly incorporated and currently solvent on a balance sheet basis, but there are early signs of liquidity strain with current liabilities exceeding current assets. Limited trading history and micro-entity status restrict the depth of financial information available for a thorough risk assessment.

2. Key Concerns:

• Liquidity Pressure: Current liabilities (£111,123) slightly exceed current assets (£97,098), resulting in marginal net current assets (£1,092). This could indicate short-term cash flow constraints.
• Limited Operational Track Record: Incorporated in May 2023, the company has only one financial year of reporting, limiting visibility into sustainable earnings or operational stability.
• Concentration of Control: Two directors each hold between 25-50% shares and voting rights, which may present governance and succession risks if either leaves or underperforms.

3. Positive Indicators:

• Positive Net Assets: The company shows net assets of £32,047, reflecting some initial capital investment and a positive equity position.
• Compliance with Filings: No overdue accounts or confirmation statements, indicating regulatory compliance to date.
• Micro-Entity Status: Reduced reporting requirements and low employee count (2) suggest a lean operation with controlled overheads.

4. Due Diligence Notes:

• Verify the nature and timing of current liabilities to assess liquidity risk and whether these are trade payables, accrued expenses, or short-term borrowings.
• Review cash flow statements and bank balances where available to understand actual liquidity position beyond balance sheet snapshots.
• Assess contracts, client base, and pipeline to gauge operational sustainability and revenue visibility.
• Investigate director backgrounds for any potential conflicts or risks given their significant control.
• Obtain management commentary on future plans, funding sources, and risk mitigation strategies.