Company Number: 13120717

Analysis Date: 2025-07-20 11:25 UTC

1. Risk Rating: LOW
   The company shows solid net asset positions, no current liabilities as of the latest year, and timely filing compliance. Although turnover decreased in the latest year, the overall financial position appears stable with positive working capital and no overdue filings.

2. Key Concerns:

• Significant decline in turnover from £38,199 in 2023 to £16,767 in 2024, indicating reduced business activity or demand.
• Operating loss of £1,574 in the latest year after profits in prior years, which may signal emerging profitability challenges.
• Single director and sole shareholder structure limits governance diversity and may increase operational risk if key individual is unavailable.

3. Positive Indicators:

• Strong liquidity with current assets of £33,595 and zero current liabilities as of 31 January 2024, yielding robust net current assets.
• Consistent positive net assets and shareholder funds growing from £24,426 in 2021 to £34,494 in 2024.
• No overdue statutory accounts or confirmation statements, indicating good compliance and governance discipline.
• Micro-entity status reduces reporting complexity, and accounts have been prepared in accordance with relevant frameworks.

4. Due Diligence Notes:

• Investigate reasons behind the turnover and profitability decline in the latest financial year to assess sustainability of business model.
• Review cash flow statements (not provided) to confirm liquidity beyond balance sheet figures and identify any working capital pressures.
• Assess dependence on the single director/shareholder and evaluate continuity plans or risks associated with key-person dependency.
• Confirm absence of off balance sheet liabilities or contingent risks beyond those disclosed in the accounts.
• Verify any changes or risks related to customer concentration, market conditions, or sector trends impacting bookkeeping services.