Company Number: 14459304

Analysis Date: 2025-07-29 12:24 UTC

1. Risk Rating: LOW
   Elis Cafe Ltd demonstrates a stable financial position for a micro-entity with positive net current assets, no overdue filings, and no indications of insolvency or regulatory non-compliance. The company’s net assets have increased steadily over two years, suggesting improving financial health.

2. Key Concerns:

• Limited financial detail: As a micro-entity, the company files minimal accounts without profit and loss statements, limiting insight into profitability and cash flow trends.
• Short operating history: Incorporated in late 2022, the company has just over two years of financial data, which may not fully reflect long-term operational sustainability.
• Director changes: A director resigned within one month of appointment in 2023, which may merit further inquiry into governance stability.

3. Positive Indicators:

• Positive net current assets (£22,982 in 2024) and net assets (£11,182) indicate the company is solvent with sufficient working capital coverage of short-term liabilities.
• No overdue accounts or confirmation statements, demonstrating good compliance with statutory filing obligations.
• Consistent employee count (3 employees) and growth in current assets from 2023 to 2024 suggest operational continuity and potential business expansion.

4. Due Diligence Notes:

• Obtain detailed management accounts or cash flow statements to confirm liquidity and profitability beyond balance sheet snapshots.
• Investigate reasons behind the short tenure of the former director to assess any governance or operational risks.
• Review business model resilience and market positioning within the unlicensed restaurant and café sector to evaluate sustainability.
• Confirm that no contingent liabilities or off-balance sheet obligations exist that could affect solvency.