Company Number: 14721596

Analysis Date: 2025-07-20 16:36 UTC

1. Risk Rating: HIGH
   The company shows negative net assets of £6,388 as of 31 March 2024, indicating insolvency on a balance sheet basis. Current liabilities exceed current assets by £16,135, signaling liquidity stress. The company is very recently incorporated (March 2023) and operates in a competitive event catering and beverage retail sector with limited financial history.

2. Key Concerns:

• Negative Net Assets: The company’s liabilities surpass its assets, a fundamental solvency concern that may impair its ability to meet obligations.
• Working Capital Deficit: Current liabilities significantly exceed current assets, raising red flags about short-term liquidity and cash flow sufficiency.
• Early Stage and Limited Financial History: Incorporated less than two years ago, with only one set of micro-entity accounts filed, restricting assessment of operational sustainability and growth trajectory.

3. Positive Indicators:

• No Overdue Filings: All statutory accounts and confirmation statements are filed on time, reflecting compliance with regulatory requirements.
• Experienced Directors: Two directors are appointed with clear contact and nationality details, suggesting governance structure is in place.
• Diverse Industry Activities: Engaged in multiple related SIC codes (event catering, retail, wholesale of alcoholic beverages), which may allow operational flexibility.

4. Due Diligence Notes:

• Review detailed cash flow statements, if available, to assess actual liquidity trends and operational cash generation.
• Investigate the nature of current liabilities to determine if they are trade payables, loans, or other obligations, and their repayment terms.
• Assess business model viability and revenue generation since incorporation, including any contracts, client base, or pipeline.
• Verify director backgrounds and any potential related party transactions or financial support.
• Confirm whether the negative equity position is a result of start-up costs and if there is a plan for recapitalization or additional funding.