Company Number: 13520418

Analysis Date: 2025-07-29 16:36 UTC

1. Risk Rating: LOW to MEDIUM
   The company shows improving net current assets and positive net assets as of the latest financial year, indicating a relatively stable solvency position for a micro-entity. However, the absence of employees and relatively small asset base suggest limited operational scale and potentially constrained liquidity.

2. Key Concerns:

• Liquidity Position Fluctuations: The company moved from negative net current assets (£-607 in 2023) to a positive position (£5,655 in 2024), which is an improvement but indicates prior liquidity challenges. Monitoring cash flow and working capital management is critical.
• No Employees Reported: The average number of employees is zero for both reported years, hinting the company may rely on directors or subcontractors, which could affect operational sustainability and growth potential.
• Limited Financial Disclosure and Scale: As a micro-entity with exemption from audit, financial statements are minimal, limiting insight into profitability, cash flow, and contingent liabilities.

3. Positive Indicators:

• Consistent Positive Net Assets: Net assets have increased steadily from £3,792 (2021) to £9,825 (2024), reflecting retained earnings or capital injections and a strengthening balance sheet.
• Timely Filing Compliance: Accounts and confirmation statements are filed on time with no overdue filings, indicating good regulatory compliance and governance discipline.
• No Indication of Insolvency or Liquidation: The company remains active with no signs of administration or receivership, supporting operational continuity.

4. Due Diligence Notes:

• Obtain detailed profit and loss data and cash flow statements to assess operational profitability and liquidity trends beyond balance sheet snapshots.
• Review director backgrounds and any related party transactions given both directors have equal shareholdings and control, to assess governance risks.
• Investigate business model sustainability given no reported employees and the nature of removal services, including client concentration risks and contractual stability.
• Confirm whether the company has adequate insurance and compliance with industry regulations pertinent to removal services.