Company Number: 13111086

Analysis Date: 2025-07-20 11:34 UTC

1. Risk Rating: HIGH
   The company shows negative net assets and total liabilities exceeding total assets, indicating solvency concerns. Despite being active and filing on time, the small scale and worsening equity position present material financial risk.

2. Key Concerns:

• Negative net assets (−£1,957 in 2024, down from −£2,957 in 2023) signal that liabilities exceed assets, a sign of financial distress.
• No employees reported over the last two years, which may reflect minimal or no operational activity, raising sustainability questions.
• Micro-entity filings with minimal share capital (£3) and negligible fixed assets (£1,903) limit financial resilience and raise liquidity risks.

3. Positive Indicators:

• The company remains active with no overdue filings, demonstrating compliance with statutory requirements.
• A single director with a stable appointment since incorporation suggests consistent management oversight.
• The company operates in food-related sectors with potentially diverse revenue streams (food services, specialised retail, and agency sales), which could offer operational flexibility.

4. Due Diligence Notes:

• Investigate the nature and timing of current liabilities (£3,860) and whether cash flow is sufficient to meet short-term obligations.
• Clarify the absence of employees and the operational model to assess business sustainability and revenue generation.
• Examine the director’s background and any related party transactions given the minimal equity and size of the company.
• Review turnover and profit & loss data (not provided) to understand revenue trends and cash generation capability.
• Confirm if any contingent liabilities or debts are not reflected in the balance sheet.