Company Number: 14934973

Analysis Date: 2025-07-29 15:34 UTC

1. Risk Rating: HIGH
   The company shows a net liabilities position of £7,982 as of the latest accounts date, indicating insolvency on a balance sheet basis. The current liabilities exceed current assets by £4,513, which raises liquidity concerns. Additionally, there is a significant long-term creditor balance of £25,999, which further pressures the company’s solvency.

2. Key Concerns:

• Negative Net Assets: The company’s balance sheet reflects net liabilities (£7,982), suggesting it does not currently have enough assets to cover all liabilities.
• Liquidity Deficit: Current liabilities (£36,332) exceed current assets (£31,819), signaling potential cash flow difficulties in meeting short-term obligations.
• Significant Long-Term Debt: Creditors falling due after more than one year amount to £25,999, which could be a financial burden for a micro-entity with limited turnover and only one employee.

3. Positive Indicators:

• No Overdue Filings: Both accounts and confirmation statement filings are up to date, indicating regulatory compliance and good governance in statutory obligations.
• Active Trading Status: The company is active since incorporation in June 2023, and operational with at least one employee, suggesting initial business activity.
• Sole Director and PSC Alignment: The sole current director is also the 75-100% shareholder and PSC, which may allow for streamlined decision-making and potentially stronger oversight.

4. Due Diligence Notes:

• Investigate the nature and terms of the £25,999 long-term creditors to understand repayment obligations and impact on cash flow.
• Review underlying causes of the negative net asset position, including any accumulated losses or initial capital injection details.
• Assess the company’s revenue generation and cash flow projections since incorporation to evaluate operational sustainability beyond the balance sheet snapshot.
• Clarify the reasons for the former director’s resignation in May 2024 and any potential impact on operations or governance.
• Confirm the company's business model profitability and pipeline within the electrical installation sector, given limited workforce and asset base.