WEBGRAFX LTD

Executive Summary

Webgrafx Ltd presents a mixed financial profile with a strong asset base but evident short-term liquidity concerns and operational limitations due to lack of employees. The company remains compliant with filing requirements and has a straightforward governance structure. Further inquiry into cash flow, asset liquidity, and business activity is recommended to fully assess financial stability and sustainability.

WEBGRAFX LTD - Analysis Report

Company Number: 13757922

Analysis Date: 2025-07-29 18:50 UTC

1. Risk Rating: MEDIUM
   The company shows sizeable fixed assets and strong net assets, indicating some capital backing. However, negative net current assets and a lack of employees signal potential liquidity stress and operational fragility.

2. Key Concerns:

• Negative Working Capital: Current liabilities (£13,305) exceed current assets (£4,772) by £8,533, suggesting short-term liquidity pressure.
• No Employees: The absence of reported employees limits operational capacity and raises questions about business activity and sustainability.
• Recent Director Appointment & Limited Share Capital: A recent appointment in Sept 2023 and nominal share capital (£1) may indicate early-stage or minimal equity cushion.

3. Positive Indicators:

• Strong Net Asset Position: Net assets of £85,241 driven by tangible fixed assets (£93,774) provide a solid asset base.
• Timely Compliance: No overdue filings for accounts or confirmation statements, reflecting good regulatory compliance.
• Clear Control Structure: A single person with significant control is identified, which may facilitate decisive governance.

4. Due Diligence Notes:

• Review the nature and liquidity of tangible fixed assets to assess their realizable value under distress.
• Investigate the company’s cash flow generation and creditor payment terms to understand ongoing liquidity management.
• Clarify the operational model given zero employees—whether the business relies on contractors, directors’ involvement, or is in early development.
• Confirm absence of director disqualifications or governance issues through Companies House and Insolvency Service checks.
• Examine turnover and profitability data (not currently disclosed) to evaluate revenue trends and operational viability.