Company Number: 13550851

Analysis Date: 2025-07-20 17:26 UTC

1. Risk Rating: LOW

Justification: TEMSAN LTD demonstrates a strong net asset position with net assets of approximately £52k as of the 2024 year-end, which exceeds its current liabilities by a healthy margin. The company has no overdue filings, maintains compliance with Companies House deadlines, and has a stable director structure. Its micro-entity status and recent incorporation (2021) mean limited historical data but current financials indicate sound solvency and liquidity.

2. Key Concerns:

• Limited financial history: The company has only been incorporated since 2021, restricting trend analysis for long-term operational stability.
• Sharp increase in current liabilities in 2024: Current liabilities rose from £3.4k in 2023 to £11.7k in 2024. While manageable, this warrants monitoring as a potential liquidity pressure point.
• Lack of profit and loss disclosure: The accounts do not include a profit and loss statement, limiting insight into operational performance and cash flow generation.

3. Positive Indicators:

• Strong net current assets: The company holds net current assets above £50k, indicating good short-term liquidity to meet obligations.
• No overdue statutory filings: Timely submission of accounts and confirmation statements signals compliance and good governance.
• Increasing employee base: Growth from 1 to 3 employees suggests business expansion and operational scaling.

4. Due Diligence Notes:

• Request the profit and loss accounts or management accounts to assess profitability and cash flow trends.
• Investigate the nature of the increase in current liabilities during the latest financial year to understand if this is a one-off or recurring issue.
• Confirm the stability and background of directors, noting that both reside at the same London address, which may reflect related parties or concentrated control structure.
• Verify the company's operational activities given its multiple SIC codes (management consultancy, unlicensed restaurant/cafe, wholesale food and beverages) to understand business focus and risk diversification.