Company Number: 13105625

Analysis Date: 2025-07-20 11:16 UTC

1. Risk Rating: HIGH
   The company exhibits a significant deterioration in financial position over the last year, with net assets falling sharply from £9,569 in 2023 to only £585 in 2024. This steep decline in net current assets and net assets signals heightened solvency risk and potential liquidity issues.

2. Key Concerns:

• Sharp Decline in Net Assets: Net assets dropped by approximately 94% year-over-year, indicating possible operational losses or asset write-downs that threaten the capital base.
• Low Current Assets and Working Capital: Current assets decreased significantly from £13,991 to £3,000, while current liabilities only decreased modestly, weakening the company’s liquidity and its ability to meet short-term obligations comfortably.
• Minimal Share Capital and Reserves: The share capital remains nominal (£1.00), and accumulated reserves have been almost entirely depleted, leaving little buffer against future losses or financial shocks.

3. Positive Indicators:

• No Overdue Filings: The company is up to date with both accounts and confirmation statement filings, indicating compliance with statutory requirements.
• Active Status and Single Director: The company is active with a single director in place, suggesting ongoing management and operational continuity.
• Micro-Entity Reporting: The company is classified as a micro-entity, which may limit statutory reporting burdens and costs.

4. Due Diligence Notes:

• Investigate the causes behind the drastic reduction in net assets and current assets—whether due to operational losses, asset disposals, or other financial events.
• Review the company’s cash flow statements and P&L (if available) to assess operating performance and liquidity trends.
• Confirm the existence and collectability of reported current assets to ensure accurate valuation.
• Verify any contingent liabilities or off-balance sheet obligations that might exacerbate financial risk.
• Assess the business model sustainability given the SIC classification (other amusement and recreation activities), especially in the context of recent financial deterioration.
• Consider the role and financial position of the significant controllers (Mrs. Michelle Nicola Ward and Mr. Oliver James Ward) to understand possible support or risks arising from ownership.