Company Number: 13393595

Analysis Date: 2025-07-29 12:10 UTC

1. Risk Rating: LOW
   The EV Cafe Ltd demonstrates a strong liquidity position and positive net current assets, with no overdue filings and a clean company status. The company has maintained positive shareholders' funds and sufficient cash reserves to cover current liabilities, indicating low immediate solvency risk.

2. Key Concerns:

• Declining total current assets and cash balance from the prior year (from £341k to £226k and £264k to £182k respectively) may warrant monitoring to ensure this is not a sustained trend affecting liquidity.
• Relatively low share capital (£5.00) could limit the company’s ability to raise capital quickly if needed.
• The company operates with no employees, which may raise questions on operational capacity or reliance on third parties; understanding the business model is important.

3. Positive Indicators:

• The company holds substantial net current assets (£132,683) and shareholders' funds (£133,210), both comfortably above current liabilities, indicating solvency.
• No overdue accounts or confirmation statement filings, reflecting compliance with regulatory requirements.
• Directors have diverse roles and appear stable, with no disqualifications or governance issues noted.
• The company benefits from a Total Exemption Full account filing, consistent with being a small company, suggesting a manageable reporting burden and transparency.

4. Due Diligence Notes:

• Review the reasons behind the decrease in cash and current assets between 2024 and 2025 to assess cash flow dynamics and sustainability.
• Investigate the business model and operational structure given the absence of employees, to understand how activities are delivered and cost controls are managed.
• Confirm the nature and aging of trade debtors to evaluate credit risk and cash conversion cycle.
• Assess any contingent liabilities or off-balance sheet exposures not evident in the accounts.
• Verify details on related party transactions or director remuneration policies that might impact financial stability.