3CLS PROPERTIES LIMITED

Executive Summary

3CLS PROPERTIES LIMITED is a newly formed micro-entity with a weak financial position characterized by negative net assets and insufficient current assets to cover liabilities. The company currently lacks the financial strength and liquidity to support credit facilities or debt repayment. Without demonstrated capital support or profitable operations, credit approval is not recommended at this time.

3CLS PROPERTIES LIMITED - Analysis Report

Company Number: SC772751

Analysis Date: 2025-07-20 11:14 UTC

1. Credit Opinion: DECLINE

3CLS PROPERTIES LIMITED is a newly incorporated micro-entity operating in property letting. Its latest financials as of 28 February 2024 reveal significant net current liabilities (£4,061) and negative shareholders’ funds of the same amount, indicating an immediate liquidity shortfall and insolvency on a balance sheet basis. The company has no employees and minimal current assets (£639), which is insufficient to cover current liabilities (£4,700). This financial position, combined with absence of trading history or profit data, suggests the company is not currently able to service any debt or credit facility. The risk of non-payment is high given the negative equity and small asset base.

2. Financial Strength

The balance sheet shows weak financial strength. Negative net assets and shareholders’ funds reflect accumulated losses or initial funding shortfalls. The company’s micro classification and lack of fixed assets imply limited collateral value. Absence of an audit and no profit and loss disclosure further reduce transparency. The controlling shareholder (3cls Investments Limited) holds full control, but there is no evidence of capital injections or funding plans to improve solvency. Overall, financial resilience is low.

3. Cash Flow Assessment

The very low current assets (cash or equivalents and receivables) against higher current liabilities signals poor short-term liquidity and working capital deficiency. The company likely depends on external funding to meet obligations. Without operational cash inflows or equity support demonstrated in the accounts, cash flow coverage is inadequate. This raises concerns about the company’s ability to meet creditor payments on time.

4. Monitoring Points

• Monitor any capital injections or loans by the parent company (3cls Investments Limited) to restore solvency.
• Watch for subsequent trading results and cash flow improvements in future filings.
• Review upcoming confirmation statements and accounts for changes in directors, business activity, or financial position.
• Track payment patterns on any credit facilities extended.
• Observe external market conditions affecting property letting in Edinburgh, which may impact business viability.