Company Number: 14506515

Analysis Date: 2025-07-29 17:43 UTC

1. Risk Rating: HIGH
   The company shows a negative net asset position (-£19,811) with net current liabilities of -£53,980, indicating solvency concerns. The liabilities exceed current assets by a significant margin, suggesting liquidity stress.

2. Key Concerns:

• Negative Net Assets and Equity: The company’s shareholders’ funds are negative, reflecting accumulated losses or insufficient capital injection. This signals potential insolvency risk.
• Working Capital Deficit: Current liabilities of £94,689 far exceed current assets of £28,142, indicating potential cash flow difficulties to meet short-term obligations.
• Young Company with Limited Financial History: Incorporated late 2022, with only one set of micro-entity accounts filed, limiting visibility into operational performance and sustainability.

3. Positive Indicators:

• Compliance with Filing Deadlines: No overdue accounts or confirmation statements, showing regulatory compliance to date.
• Stable Management: Directors and persons with significant control are consistent, and local to the business address, which may support operational stability.
• Micro-entity Status: Reduced complexity in reporting requirements, potentially reflecting a small, focused business model.

4. Due Diligence Notes:

• Investigate the composition of current liabilities, including any creditor payment terms or overdue debts.
• Review cash flow projections or management accounts to assess ongoing liquidity and operational viability.
• Understand the business model and revenue generation to evaluate prospects for reversing losses.
• Clarify whether related party transactions exist between the directors/shareholders and the company.
• Confirm absence of director disqualifications or regulatory enforcement actions.