Company Number: 14248177

Analysis Date: 2025-07-20 11:32 UTC

1. Risk Rating: MEDIUM
   The company is relatively new (incorporated in 2022) and operates as a micro-entity with modest asset levels. It has positive net current assets, indicating working capital adequacy, but current liabilities are high relative to current assets, suggesting tight liquidity. Absence of employees and limited financial history increase uncertainty around operational stability.

2. Key Concerns:

• Liquidity Tightness: Current liabilities (£162,169) are close to current assets (£173,395), leaving a slim net current asset margin (£11,226), which could constrain cash flow flexibility.
• No Employees: The company reported zero employees, which may imply reliance on directors or contractors; this operational model could limit scalability or introduce operational risks.
• Limited Financial History: Only two full financial years filed, making trend analysis difficult and increasing uncertainty around sustainability and profitability.

3. Positive Indicators:

• Positive Net Assets and Equity: Shareholders’ funds stand at £24,568, indicating the company is not insolvent and has capital buffer.
• Timely Compliance: No overdue filings for accounts or confirmation statements, showing good regulatory compliance and governance.
• Active Website and Defined Market Niche: The company has an active website promoting premium and flavored rums, showing a focused business model in beverage wholesale and spirits blending.

4. Due Diligence Notes:

• Review detailed profit and loss data (not provided) to assess profitability and cash flow generation.
• Investigate the nature of current liabilities to understand payment terms and potential refinancing needs.
• Clarify operational setup given no employees—are key activities outsourced or performed by directors?
• Assess directors’ backgrounds and related party transactions, given both directors hold equal control and reside at the same address.
• Monitor future filings for consistency and emergence of audited accounts as company grows.