THE LEA DIVISION ANGLING AND CONSERVATION GROUP CIC

Executive Summary

THE LEA DIVISION ANGLING AND CONSERVATION GROUP CIC is a newly incorporated micro-entity with a stable liquidity position and compliance record. While currently operating at a small loss, the company’s positive net assets and cash reserves mitigate immediate financial risks. Investors should focus on the company’s strategy to achieve operational sustainability and ensure adequate governance given its early stage and concentrated control.

THE LEA DIVISION ANGLING AND CONSERVATION GROUP CIC - Analysis Report

Company Number: 14457755

Analysis Date: 2025-07-29 12:59 UTC

1. Risk Rating: LOW
   The company demonstrates a solid net asset position relative to its modest scale, with no overdue filings or indications of regulatory non-compliance. Despite a small operating loss, the financial position and liquidity appear stable for its current operational scope.

2. Key Concerns:

• Operating Loss: The company incurred a loss of £716 over the 17-month period, indicating expenses slightly exceeding revenues, which requires monitoring to ensure sustainability.
• Early Stage Entity: Incorporated in late 2022 with limited trading history and turnover of only £12,435, making it difficult to assess long-term viability at this stage.
• Single Employee and Director Control: Very lean operational structure with one employee and director, plus significant control concentrated in a single individual, which may pose operational and governance risks.

3. Positive Indicators:

• Strong Liquidity: Cash balances of £9,357 comfortably cover current liabilities of £1, indicating no immediate liquidity concerns.
• Positive Net Assets: Net assets of £11,054 demonstrates a healthy balance sheet for this micro-entity with minimal liabilities.
• Compliance: No overdue accounts or confirmation statements filed; the company remains compliant with Companies House requirements.
• Community Interest Company Status: This legal structure suggests a social purpose focus which may support funding avenues and stakeholder goodwill.

4. Due Diligence Notes:

• Review the business plan and funding strategy to understand how the company plans to address the operating loss and generate sustainable revenues.
• Verify the nature of the tangible assets (£1,698 in office equipment) and assess their adequacy for operational needs.
• Investigate the governance and control environment given the concentration of control and minimal staffing to ensure robust oversight and risk management.
• Confirm the absence of any related party transactions or remuneration not disclosed in the report.
• Monitor future filings for any changes in financial health, director appointments, or stakeholder engagement, especially given the CIC community mandate.