The company made a loss during the year and at the balance sheet date, it had net liabilities. The company is reliant on the support by the director, who has lent the company a loan.
On the basis that the director will continue to support the reporting entity for the foreseeable future, the director considers it appropriate to prepare the financial statements on a going concern basis.
The financial statements do not include any adjustments that would result from a withdrawal of the support of the director.