Company Number: 13528152

Analysis Date: 2025-07-20 18:37 UTC

1. Risk Rating: HIGH
   The company exhibits significant solvency and liquidity concerns, demonstrated by persistent and worsening negative net assets and net current liabilities. The financial position indicates an inability to meet short-term obligations, raising serious doubts about operational sustainability.

2. Key Concerns:

• Severe Negative Net Assets: The net liabilities have increased substantially from approximately £5,494 in 2023 to £23,666 in 2024, reflecting accumulated losses and erosion of shareholder equity.
• Large Negative Working Capital: Net current liabilities worsened from £5,276 in 2023 to £23,277 in 2024, indicating a severe liquidity shortfall and potential cash flow stress.
• Minimal Current Assets and Cash: Current assets dropped sharply from £2,078 in 2023 to only £72 in 2024, with no reported cash balances in 2024, pointing to possible difficulties in meeting immediate liabilities.

3. Positive Indicators:

• No Overdue Filings: The company is current on its accounts and confirmation statement filings, suggesting compliance with regulatory requirements.
• Stable Management Team: Two directors with relevant occupations (General Manager and Financial Adviser) have been in place since incorporation, indicating continuity in governance.
• Active Website and Contact Details: The company maintains an active website and multiple contact points, which may support ongoing business operations and client engagement.

4. Due Diligence Notes:

• Investigate the causes behind the rapid deterioration in net assets and whether these reflect operational losses, write-downs, or other one-off events.
• Review the company's cash flow statements and creditor payment terms to assess liquidity management and risk of default.
• Clarify the nature and timing of current liabilities to understand whether these are trade payables, loans, or accruals that may be renegotiable or payable imminently.
• Assess any contingent liabilities or off-balance-sheet commitments not reflected in the financials provided.
• Confirm the business model viability and revenue generation capability given the small asset base and negative equity.
• Verify whether any formal insolvency procedures have been considered or are imminent given the financial trends.