Company Number: 12940683

Analysis Date: 2025-07-20 11:14 UTC

1. Risk Rating: HIGH
   Justification: Despite being an active micro-entity, THREADER LIMITED shows very low turnover (£2,240 in 2023) and has reported a significant loss (£4,563 for the year ending 31 October 2023). The company holds minimal net assets (£3,833) and no fixed assets, indicating limited operational scale and financial buffer. The loss and low income level raise concerns about the company’s ability to meet liabilities and sustain operations.

2. Key Concerns:

• Sustained Losses: The company reported a loss of £4,563 in 2023, which is significant relative to its turnover, suggesting ongoing operational challenges.
• Low Turnover and Scale: Turnover is minimal and only marginally increased from £1,710 in 2020 to £2,240 in 2023, indicating limited business growth or market traction.
• Single Director and Ownership Concentration: The company is controlled entirely by one individual (Mrs. Jennifer Wiss-Carline), which may raise governance and succession risks.

3. Positive Indicators:

• No Overdue Filings: Accounts and confirmation statements are filed on time, showing regulatory compliance and good governance in terms of statutory obligations.
• Positive Net Current Assets: Despite losses, net current assets remain positive (£3,833), suggesting some short-term liquidity cushion.
• Micro Entity Status: The small scale limits complexity and potential liabilities, which may reduce exposure to large financial risks.

4. Due Diligence Notes:

• Investigate the nature of losses and whether they are one-off or recurring, including assessment of cost structure and revenue drivers.
• Review cash flow statements and bank balances to confirm liquidity beyond the balance sheet snapshot.
• Assess business model sustainability given very low turnover and no fixed assets.
• Confirm no related party transactions or off-balance sheet liabilities, as none are disclosed.
• Understand plans or capacity for business growth or capital injection to improve financial stability.