XBTO UK LTD.

Executive Summary

XBTO UK LTD. presents a high risk profile due to its minimal financial resources and lack of reported trading activity, which raises concerns about solvency and operational viability. While the company maintains regulatory compliance and has a formal governance framework, recent director turnover and concentrated ownership require further investigation. Investors should conduct detailed due diligence on business operations and governance before considering exposure.

XBTO UK LTD. - Analysis Report

Company Number: 13337156

Analysis Date: 2025-07-29 19:08 UTC

1. Risk Rating: HIGH
   The company's financial data shows extremely minimal assets (£1 current asset, £1 net assets) and negligible cash on hand (£1), which is insufficient to cover any operational costs or liabilities. The balance sheet indicates virtually no working capital or financial buffer. This raises significant concerns about the company's ability to meet obligations and sustain operations.

2. Key Concerns:

• Solvency and Liquidity: The company holds only £1 in cash and current assets, with no receivables or payables recorded in the latest year, indicating an absence of operating cash flow or financial resources.
• Operational Viability: The absence of turnover or revenue figures, combined with negligible assets, suggests the company may not be actively trading or generating income, risking operational sustainability.
• Governance and Control: Frequent recent changes in directors (notably in October 2024) and the significant control held by PSCs residing outside the UK may warrant scrutiny for governance and oversight quality.

3. Positive Indicators:

• Compliance: The company is up-to-date with both accounts and confirmation statement filings, indicating regulatory compliance and administrative discipline.
• Corporate Secretary: Engagement of a professional corporate secretary (Vistra Cosec Limited) suggests some level of formal governance structure support.
• Small Company Reporting: Filing under the small company regime and exemption from audit reduces administrative burden, which may be appropriate for the company size and activity.

4. Due Diligence Notes:

• Investigate the nature of business activity and revenue generation, as no turnover or profit/loss data is disclosed and the company’s financials reflect minimal activity.
• Confirm the reason for the drastic reduction in reported debtors and creditors from 2023 to 2024, as previous year showed £39,524 in trade debtors and creditors which disappeared in the latest accounts.
• Assess the impact and rationale behind recent director resignations and appointments in October 2024, including their backgrounds and potential implications on company strategy and governance.
• Verify the extent of operational activity given the SIC code (62090 - Other IT service activities) and any contracts or client relationships supporting sustainability.
• Review the relationship and influence of the significant shareholders residing abroad and their role in company direction and financial support.