WEST 16TH ADVISORY LTD

Executive Summary

West 16th Advisory Ltd is a small, privately owned management consultancy with stable net assets and current liabilities well covered by current assets. It maintains good compliance status and shows no immediate solvency or liquidity red flags. However, limited financial detail and concentrated control warrant further review of operational viability and governance practices.

WEST 16TH ADVISORY LTD - Analysis Report

Company Number: 12899221

Analysis Date: 2025-07-29 20:21 UTC

1. Risk Rating: LOW
   West 16th Advisory Ltd shows stable net assets and positive working capital over multiple years, with no overdue filings or indication of financial distress. The company’s micro-entity size and sole director ownership imply a straightforward operational structure with limited financial exposure.

2. Key Concerns:

• Minimal asset base and current assets (£6,132) suggest limited financial buffer if unexpected expenses arise or if cash flow is disrupted.
• Reliance on a single director and controlling shareholder (Simon Dennett) concentrates operational and governance risk.
• Lack of detailed profit and loss data limits insight into revenue generation or profitability trends, creating uncertainty about business sustainability.

3. Positive Indicators:

• Consistent positive net current assets (~£4,267) and net assets over the last three years, indicating the company can meet short-term liabilities.
• Up-to-date statutory filings with no overdue accounts or confirmation statements, suggesting compliance with regulatory requirements.
• Business classified under management consultancy SIC code 70229, a sector with relatively low capital expenditure and fixed asset needs, consistent with reported micro-entity status.

4. Due Diligence Notes:

• Verify revenue, profit/loss, and cash flow statements to better assess operational performance and sustainability.
• Confirm whether the single director shareholder structure has appropriate governance safeguards to mitigate risks of unilateral decision-making.
• Investigate business model and client base to evaluate future revenue stability, especially given the small scale of operations and limited staff (1 employee).