Company Number: NI670323

Analysis Date: 2025-07-29 17:51 UTC

1. Risk Rating: MEDIUM
   The company demonstrates modest net assets and positive net current assets, indicating basic solvency. However, the reduction in net assets and fixed assets over recent years, combined with an absence of profit and loss details, raises some concerns about operational sustainability and liquidity dynamics.

2. Key Concerns:

• Declining Net Assets: Net assets decreased from £55,558 in 2021 to £13,736 in 2024, indicating possible erosion of equity which could impact financial stability.
• Reduced Fixed Assets: Fixed assets have fallen from £46,105 in 2020 to £11,849 in 2024, potentially showing asset disposals or underinvestment which might affect operational capacity.
• Limited Financial Disclosure: The absence of profit and loss accounts limits insight into revenue streams, profitability, and cash flows, restricting full assessment of liquidity and operational performance.

3. Positive Indicators:

• Positive Working Capital: Current assets consistently exceed current liabilities, with net current assets at £16,789 in 2024, suggesting the company can cover short-term liabilities.
• Compliance with Filing: The company is current with both accounts and confirmation statement filings, showing regulatory compliance and governance responsibility.
• Stable Staffing: The average number of employees held steady at 10, indicating operational consistency in workforce size.

4. Due Diligence Notes:

• Obtain Profit and Loss Statements to assess revenue trends, profitability, and cash generation capacity.
• Review cash flow statements to evaluate liquidity position and ability to meet obligations in the near term.
• Investigate reasons for declining net assets and fixed asset disposals to understand business strategy and asset management.
• Assess any contingent liabilities or off-balance sheet commitments not visible in current accounts.
• Confirm absence of director disqualifications or negative conduct records for key personnel, particularly the controlling director Mr. Simon Toye.