Company Number: 12730587

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

1. Risk Rating: LOW
   The company exhibits a solid improvement in net assets and working capital over the most recent financial year, moving from a prior period of negative equity to positive net assets of £4,675. It is current with all filings and shows no signs of insolvency or liquidation.

2. Key Concerns:

• Historical Negative Equity: The company showed negative net assets from 2021 through 2023, indicating prior periods of financial stress that should be understood in context.
• Small Scale Operations: The company is micro-entity sized with no employees reported, which may limit operational resilience and growth potential.
• Single Director and PSC: Control is concentrated with one individual (Mr. Paul Pugh) holding 100% ownership and voting rights, which could pose governance risks and dependency concerns.

3. Positive Indicators:

• Improved Financial Position: The latest accounts show increased current assets (£7,016) and a healthy net current asset position (£5,155), indicating improved liquidity.
• Up-to-Date Compliance: All statutory filings (accounts and confirmation statements) are current and not overdue, reflecting good regulatory compliance.
• Business Continuity: The company has been active since 2020 without entering any insolvency procedures and maintains a functional website, suggesting operational stability.

4. Due Diligence Notes:

• Investigate the drivers behind the turnaround from negative equity to positive net assets in 2024, including revenue growth, cost management, or capital injections.
• Review cash flow statements (if available) to confirm liquidity trends beyond balance sheet snapshots.
• Assess the business model and client base to gauge sustainability given the absence of employees and micro-entity status.
• Confirm no director disqualifications or adverse conduct related to Mr. Paul Pugh beyond the data provided.
• Evaluate any contingent liabilities or off-balance-sheet risks not apparent in micro-entity accounts.