Company Number: 14626715

Analysis Date: 2025-07-29 20:16 UTC

1. Risk Rating: MEDIUM
   Justification: TPJ PIZZERIA LIMITED is a micro-entity with minimal financial disclosures, showing very limited net assets (£386) as at the latest filing date. The company is newly incorporated (2023) and operates in the competitive take-away food sector. While it is not overdue on filings and remains active, its very low net asset base and current liabilities slightly exceeding current assets indicate potential liquidity constraints.

2. Key Concerns:

• Low Net Assets and Working Capital: Net current assets are positive but minimal (£386), suggesting thin liquidity buffers to absorb operational shocks or unexpected expenses.
• Limited Financial History and Scale: Being only about 1.5 years old with micro-entity reporting limits insight into operational profitability and sustainability.
• Single Director and Shareholder Control: Full ownership and control by a single individual may raise concerns about governance and succession risk, especially in a demanding retail food environment.

3. Positive Indicators:

• No Overdue Filings: Compliance with statutory filing deadlines reduces regulatory risk.
• Micro-Entity Accounting Compliance: Use of FRS 105 simplifies reporting and indicates cost-conscious financial management appropriate for size.
• Small Employee Base (3 employees): Reflects a lean operation which may help control costs in early stages.

4. Due Diligence Notes:

• Verify cash flow statements or bank balances to assess real-time liquidity beyond balance sheet snapshots.
• Investigate operational performance, including revenue trends and profitability, to judge sustainability in a competitive sector.
• Assess director’s experience and business plan to understand strategy and capacity to grow or withstand market pressures.
• Confirm absence of contingent liabilities or off-balance sheet obligations that could impact solvency.