Company Number: 13481322

Analysis Date: 2025-07-29 19:39 UTC

1. Risk Rating: LOW
   The company exhibits a positive net current asset position with increasing working capital, is compliant with filings, and shows no indication of financial distress or governance issues.

2. Key Concerns:

• Limited Financial History and Scale: As a micro-entity incorporated in 2021 with minimal employees (average 2), the company’s financial data is relatively limited, which constrains long-term risk assessment.
• Modest Asset Base: Total net assets and shareholder funds remain small (£11,364 as of May 2024), which may limit resilience against unexpected financial shocks.
• Concentration of Control: Two directors each hold 25-50% ownership and control, which may present governance risks if differences arise, though this is common in small companies.

3. Positive Indicators:

• Improved Liquidity and Solvency: Current assets have increased substantially from £8,067 in 2023 to £29,622 in 2024, while current liabilities have only doubled, improving net current assets from £61 to £11,364.
• Filing Compliance: All statutory accounts and confirmation statements are filed on time with no overdue filings or penalties, indicating good regulatory compliance.
• Stable Management: Directors are active with no disqualifications or public misconduct records, and the company maintains a consistent registered office address.

4. Due Diligence Notes:

• Review cash flow statements and profit & loss accounts to verify cash generation capability and operational profitability beyond balance sheet snapshots.
• Investigate the nature and terms of current liabilities to assess short-term obligations and any contingent risks.
• Confirm no off-balance sheet liabilities or undisclosed related party transactions given the small scale and ownership concentration.
• Assess the contract portfolio or client base to evaluate business sustainability in the advertising sector (SIC 73110).
• Verify any director remuneration or shareholder loans that could affect financial stability.