WAMAI LIMITED

Executive Summary

Wamai Limited is a micro-entity with a modest negative net asset position and current liabilities slightly exceeding current assets as of its latest accounts. While the company is compliant with filing requirements and benefits from clear ownership, its early stage and limited financial history warrant caution regarding liquidity and operational sustainability. Further due diligence into cash flows, liabilities, and management capability is recommended before investment consideration.

WAMAI LIMITED - Analysis Report

Company Number: 13942796

Analysis Date: 2025-07-20 16:57 UTC

1. Risk Rating: MEDIUM

The company shows a small negative net asset position and net current liability as of the latest accounts, which indicates some solvency risk. However, the scale of these negative balances is modest for a micro-entity less than two years old. The limited financial history and small asset base suggest caution, but no severe distress signals are evident.

2. Key Concerns:

• Negative Net Assets and Working Capital: As of 31 March 2024, net current assets are negative (£-428), indicating current liabilities slightly exceed current assets, which could pressure liquidity.
• Early Stage with Limited Financial History: Incorporated in 2022, the company has only two years of financial data with limited scale, making trend analysis and sustainability assessment difficult.
• Director Composition and Experience: One director is a student, and the other two are relatively young professionals without clear evidence of industry leadership or financial management experience, which might impact operational stability.

3. Positive Indicators:

• Filing Compliance: All statutory filings, including accounts and confirmation statements, are up to date, indicating good regulatory compliance.
• Ownership and Control: A single PSC owns 75-100% of shares and voting rights, suggesting clear governance and decision-making structure.
• Industry Focus: The company operates in IT-related services (repair, consultancy, software development), sectors with growth potential and lower fixed asset intensity, which may mitigate capital risks.

4. Due Diligence Notes:

• Review the company's cash flow statements and bank balances to assess liquidity beyond the balance sheet snapshot.
• Investigate the nature and terms of current liabilities to determine if these are short-term trade creditors or loans requiring imminent repayment.
• Evaluate directors’ qualifications and business plans to understand operational viability and growth prospects.
• Confirm absence of any director disqualification or regulatory enforcement actions.
• Assess customer contracts or pipeline to gauge revenue stability and scalability.