Company Number: 13742325

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

1. Risk Rating: HIGH
   Justification: The financial data for the latest year (2023) shows a sharp deterioration in liquidity and net assets compared to prior years. Current assets dropped drastically from £32,749 to £970, with cash on hand falling from £23,784 to £85. Current liabilities, previously positive net, have worsened to a negative £2,125, indicating potential misclassification or payment defaults. The net assets have declined significantly from £24,836 to £3,095, signaling financial distress and potential solvency concerns.

2. Key Concerns:

• Severe Liquidity Decline: Cash reserves have collapsed from nearly £24k to £85, which is a critical warning sign for meeting short-term obligations.
• Negative Current Liabilities Presentation: The 2023 accounts show current liabilities as negative (£-2,125), which is unusual and may indicate accounting errors or delayed creditor payments. This requires clarification.
• Material Net Asset Reduction: A nearly 88% decline in net assets in one year is a red flag for operational sustainability and raises questions on profitability and cash flow management.

3. Positive Indicators:

• Compliance and Timeliness: The company has filed accounts and confirmation statements on time with no overdue filings or penalties, suggesting good regulatory compliance.
• Single Director with Full Control: Clear ownership and governance by Mr. Michael David Buckley may provide decision-making agility.
• Stable Industry Classification: Operating in public relations (SIC 70210) which typically has low capital intensity and may allow for operational flexibility.

4. Due Diligence Notes:

• Investigate the cause of the drastic decline in cash and current assets in 2023, including whether it reflects business contraction, asset disposals, or accounting adjustments.
• Clarify the unusual presentation of current liabilities as a negative figure in the latest accounts—this is atypical and may indicate errors or misstatements.
• Review profit and loss performance, as the P&L reserve has been depleted substantially; the absence of the detailed P&L in filings limits assessment.
• Assess operational activities and client base to understand if the business model remains viable, given the sharp financial deterioration.
• Confirm if any director or related party loans or transactions exist that might affect financial stability.