VERVE ELECTRICAL SOLUTIONS LIMITED

Executive Summary

Verve Electrical Solutions Ltd is a newly incorporated micro-entity showing early signs of solvency pressure with net liabilities and long-term creditors exceeding assets. Short-term liquidity appears sufficient, and compliance with filing deadlines is maintained. However, limited financial history and concentration of control warrant cautious monitoring and further investigation into creditor obligations and operational outlook.

VERVE ELECTRICAL SOLUTIONS LIMITED - Analysis Report

Company Number: 14938017

Analysis Date: 2025-07-20 11:22 UTC

1. Risk Rating: MEDIUM
   The company is newly incorporated (June 2023) and classified as a micro-entity. The latest accounts show net liabilities (£161) and long-term creditors (£1,800) exceeding total assets, indicating solvency pressures. However, the current assets exceed short-term liabilities, suggesting some short-term liquidity buffer. Lack of audit and limited financial history limit certainty.

2. Key Concerns:

• Solvency Risk: Net liabilities and long-term creditors exceed assets, which could impair the company’s ability to meet obligations over time.
• Limited Financial History: Being in operation less than one year with minimal financial data restricts assessment of operational stability and profitability.
• Single Director and Shareholder: Concentration of control in one individual (also the sole director) may increase governance and operational risk.

3. Positive Indicators:

• Current Assets Exceed Current Liabilities: Indicates reasonable short-term liquidity to cover immediate obligations.
• No Overdue Filings: Accounts and confirmation statements are up to date, showing compliance with statutory requirements.
• Micro-entity Status: Simplified reporting requirements and likely low overheads given single employee and director, which may help control costs.

4. Due Diligence Notes:

• Investigate the nature and terms of the £1,800 long-term creditors to assess repayment risk and impact on ongoing viability.
• Review cash flow forecasts and contract pipeline to evaluate revenue generation and operational sustainability.
• Confirm no director disqualifications or regulatory issues related to the sole director.
• Monitor future filings for changes in net assets and potential improvements or deterioration in financial position.