Company Number: 15019803

Analysis Date: 2025-07-29 14:04 UTC

1. Risk Rating: HIGH
   Justification: The company shows net liabilities of £6,849 with shareholders’ funds negative by the same amount, indicating insolvency on a balance sheet basis. Current liabilities exceed cash holdings, and a significant portion of liabilities (£11,071) are due after one year, raising concerns about long-term solvency and financial stability. The company is newly incorporated (July 2023) with limited operational history and no employees, which adds to uncertainty.

2. Key Concerns:

• Negative net assets and shareholders’ funds suggest the company is currently insolvent.
• Current liabilities (£6,000) exceed cash at bank (£10,222) by a narrow margin, and the presence of director loans as short-term liabilities may indicate reliance on insider funding rather than external credit.
• No employees and minimal operational history limit evidence of sustainable business activity or revenue generation.

3. Positive Indicators:

• The company is compliant with filing deadlines; accounts and confirmation statements are up to date, reflecting good regulatory compliance.
• The sole director and 100% shareholder is identified, which may enable swift decision-making and control.
• The company benefits from exemption from audit requirements as a small entity, reducing administrative burden in early stages.

4. Due Diligence Notes:

• Investigate the nature and terms of the director loans (£6,000) and trade creditors (£11,071) to understand repayment obligations and potential refinancing risks.
• Review any business plans, contracts, or revenue streams to assess future operational viability and cash flow projections.
• Confirm the reason for the negative retained earnings position and whether any write-downs or one-off costs contributed.
• Clarify the company’s business model under SIC 96090 (“Other service activities not elsewhere classified”) to assess market position and sustainability.