Company Number: 14334457

Analysis Date: 2025-07-20 15:30 UTC

1. Risk Rating: HIGH
   The company exhibits significant negative net current assets and shareholders' funds over consecutive years, indicating ongoing solvency challenges and an inability to meet short-term liabilities from current assets.

2. Key Concerns:

• Persistent Negative Working Capital: The net current liabilities increased from £17,112 in 2023 to £20,785 in 2024, raising concerns about liquidity and payment capacity.
• Negative Shareholders’ Funds: Shareholders' funds have remained negative and deteriorated, reflecting accumulated losses and potential insolvency risks.
• Minimal Operational Scale: The average number of employees is one, suggesting limited operational scale and potentially constrained ability to generate cash flows or scale the business.

3. Positive Indicators:

• Timely Compliance: The company is current with statutory filings, including accounts and confirmation statements, indicating adherence to regulatory requirements.
• Active Online Presence: The company maintains an active website and social media profiles, supporting business visibility and customer engagement.
• Micro-Entity Status: Operating as a micro-entity may reduce administrative burdens and costs, potentially aiding cash conservation.

4. Due Diligence Notes:

• Investigate the nature and terms of current liabilities to assess immediate payment obligations and creditor relationships.
• Review management plans or strategies for turning around negative equity and improving working capital.
• Assess cash flow statements, if available, to understand operational cash generation and financing activities.
• Examine any director or related party loans or guarantees that may impact financial stability.
• Confirm whether the company has access to external financing or support to mitigate liquidity pressures.
• Validate the sustainability of the business model given the limited scale and negative net assets.