Company Number: 13253353

Analysis Date: 2025-07-29 15:49 UTC

1. Risk Rating: MEDIUM
   The company has demonstrated a significant turnaround in financial position from prior years, moving from net liabilities and negative equity to positive net assets and shareholders' funds. However, current liabilities remain high relative to current assets, and the company is still relatively young with limited historical financial data.

2. Key Concerns:

• Working Capital Pressure: Although net current assets are positive at £51,361 for 2024, this is a recent improvement from a considerable negative working capital position in previous years, indicating ongoing liquidity strain risks.
• High Current Liabilities: Current liabilities (£355,175) remain substantial and could pressure cash flows if not managed carefully, especially in an event services industry with potential seasonality or delayed payments.
• Limited Share Capital and Equity History: Share capital is nominal (£133), and the company had negative net assets in earlier years, suggesting past funding or profitability challenges which warrant scrutiny for sustainability.

3. Positive Indicators:

• Substantial Improvement in Net Assets: The company improved from net liabilities of nearly £99k in 2023 to net assets of £100k in 2024, indicating effective financial restructuring or operational improvements.
• Good Cash Position: Cash at bank increased to £176,371, providing liquidity buffer.
• Growth in Intangible and Fixed Assets: Increased intangible assets signify investment in business capabilities or intellectual property, suggesting operational development.
• Compliance: No overdue filings; accounts and confirmation statements are up to date indicating good regulatory compliance and governance.

4. Due Diligence Notes:

• Verify the source and sustainability of the capital injection or reserves increase that led to the positive equity turnaround.
• Examine detailed cash flow statements and debtor aging to assess collection risk and cash flow reliability.
• Review contracts and client concentration to understand revenue stability in the exhibition and fair organizing sector.
• Investigate directors’ background and any related party transactions given that two directors share the same address, potentially indicating family control.
• Assess the impact of any contingent liabilities or off-balance sheet commitments not disclosed in summary accounts.