Company Number: 13885322

Analysis Date: 2025-07-29 20:41 UTC

1. Risk Rating: HIGH
   The company exhibits significant solvency and liquidity risks, with net liabilities and severely negative working capital, indicating an inability to meet short-term obligations without additional financing.

2. Key Concerns:

• Negative Net Current Assets: The company has net current liabilities of approximately £787k as of 28/02/2024, indicating liquidity stress and potential cash flow difficulties.
• Negative Shareholders’ Funds: The shareholders’ deficit of around £9,900 suggests accumulated losses or undercapitalization, raising concerns about financial sustainability.
• No Employees and Limited Operational Data: The absence of employees and limited information on revenue or turnover implies potentially limited operational activity or scale, which may affect ongoing viability.

3. Positive Indicators:

• Fixed Assets Stability: The company holds tangible fixed assets valued around £777k, indicating some asset backing which could support financing or recovery.
• Timely Compliance: All statutory filings, including accounts and confirmation statements, are up to date and not overdue, reflecting sound regulatory compliance and governance.
• Experienced Directors: Both directors have been in place since incorporation and appear to be resident at the registered office, which can support operational continuity.

4. Due Diligence Notes:

• Cash Flow and Revenue Generation: Investigate the company’s actual revenue streams, cash inflows, and how it services its liabilities, given the extremely low current assets relative to liabilities.
• Nature of Fixed Assets: Clarify the composition and realizable value of fixed assets (£777k) to assess if they can be leveraged or sold to improve solvency.
• Related Party Transactions: Examine any inter-company balances or related party loans, especially given the directors’ significant control, to understand financial support mechanisms.
• Business Model Viability: Understand the company’s business operations, customer base, and plans for addressing the negative net asset position and liquidity shortfall.