Company Number: 15126356

Analysis Date: 2025-07-20 11:44 UTC

1. Risk Rating: MEDIUM
   The company shows a negative shareholders’ funds position and has significant liabilities relative to its assets, which elevates solvency risk. However, the current assets exceed current liabilities, suggesting some liquidity cushion. The company is very new, limiting financial history to fully assess operational stability.

2. Key Concerns:

• Negative equity of £8,425 indicates the company’s net liabilities exceed its net assets, a solvency red flag.
• Significant creditors falling due after one year (£343,500) raise concerns about long-term debt servicing capacity.
• No employees and limited operational history since incorporation in September 2023 limit insight into business sustainability and revenue generation.

3. Positive Indicators:

• Current assets (£1,187,962) exceed current liabilities (£855,293), suggesting an ability to meet short-term obligations.
• Timely filing of accounts and confirmation statements with no overdue filings demonstrates regulatory compliance.
• Clear ownership and control structure with two directors owning all shares and having appointment rights, facilitating effective governance.

4. Due Diligence Notes:

• Review the nature and terms of the £343,500 long-term creditors to assess repayment obligations and impact on cash flows.
• Examine the business plan or contracts to understand how the company intends to generate revenue and improve equity.
• Verify the composition of current assets—particularly cash or receivables—to confirm liquidity quality.
• Investigate whether the company has access to additional funding sources or guarantees from shareholders.