Company Number: 13600688

Analysis Date: 2025-07-20 13:38 UTC

1. Risk Rating: HIGH
   The company demonstrates persistent negative net assets and net current liabilities over multiple years, indicating solvency concerns. The minimal cash balance relative to current liabilities signals severe liquidity risk. Lack of employees and repeated operating losses further compound operational stability risks.

2. Key Concerns:

• Solvency Risk: The company’s net liabilities have grown from approximately £7,285 in 2021 to £12,234 in 2024, revealing ongoing erosion of shareholder funds and inadequate asset coverage of liabilities.
• Liquidity Concerns: Cash on hand remains negligible (£36 in 2024) compared to current liabilities (£12,270), suggesting an inability to meet short-term obligations without external funding or asset sales.
• Operational Stability: The company reported zero employees consistently over the last two years, which is unusual for a care services provider and may indicate a lack of active operations or reliance on subcontractors, raising questions about the sustainability of service delivery.

3. Positive Indicators:

• Regulatory Compliance: The company is up to date with statutory filings (accounts and confirmation statements) and is not overdue on deadlines, which reflects governance discipline.
• Going Concern Statement: Directors have asserted a reasonable expectation of continued financial support and viability, which, if substantiated, could mitigate immediate winding-up risks.
• No Audit Requirement: The company qualifies for audit exemption under the small companies regime, reducing compliance costs and administrative burdens.

4. Due Diligence Notes:

• Verify the nature and source of the financial support referenced by directors to confirm the going concern assumption and assess its sustainability.
• Investigate the operational model given zero employees reported—determine whether services are outsourced or if the company is dormant in practice despite reporting as active.
• Review creditor composition and terms, including any overdue payments or contingent liabilities not reflected in current figures.
• Assess turnover and profitability trends since turnover figures are not disclosed, to understand revenue generation capability and business viability.
• Confirm whether any director or related party transactions exist that could affect financial stability or signal conflicts of interest.