THINNERGRUB LIMITED

Executive Summary

THINNERGRUB LIMITED demonstrates a solid net asset position supported by a strong equity base and good regulatory compliance. However, liquidity volatility in the prior year and limited operational activity warrant further scrutiny. Investors should focus on cash flow stability and asset quality before concluding on the company’s financial health.

THINNERGRUB LIMITED - Analysis Report

Company Number: SC710185

Analysis Date: 2025-07-29 12:42 UTC

1. Risk Rating: MEDIUM
   The company shows strong net asset figures but there is notable volatility in current assets and liabilities, including a negative cash position previously. The business is relatively new and classified as a micro-entity, limiting detailed financial disclosure. While solvency appears adequate currently, liquidity concerns and limited operational scale moderate the risk rating.

2. Key Concerns:

• Liquidity Volatility: Negative cash and current asset balances reported in the prior financial year (2023) raise concerns about short-term cash flow management.
• Concentration of Control: A single individual holds 75-100% ownership and control, presenting governance risk if succession or decision conflicts arise.
• Limited Operational Activity: Zero employees and classification as a holding company with no detailed operational data suggest limited business activity, which may affect sustainability and revenue generation.

3. Positive Indicators:

• Strong Net Asset Position: Net assets improved significantly from £13.8k in 2023 to £1.56m in 2024, indicating a solid equity base.
• Timely Compliance: The company is up-to-date with both accounts and confirmation statement filings, reflecting good regulatory compliance.
• No Long-Term Debt: Absence of creditors falling due after one year reduces long-term solvency risk.

4. Due Diligence Notes:

• Review cash flow statements or internal management accounts to assess ongoing liquidity and working capital management.
• Investigate the nature and valuation of fixed assets (£1.5m+) to confirm they are realizable and properly accounted for.
• Assess the business model and revenue streams given the zero employee count and holding company SIC code (64209).
• Confirm no undisclosed related party transactions or guarantees given the concentrated ownership.
• Verify director conduct records and any potential conflicts of interest, noting the recent change in directors.