A&H REHMAN PROPERTIES LTD

Executive Summary

A&H Rehman Properties Ltd is a recently incorporated micro-entity with a modest fixed asset base but currently reporting negative net assets primarily due to significant long-term liabilities. The company faces high solvency and liquidity risks at present, although timely filings and management optimism offer some reassurance. Further due diligence on debt structure and cash flow plans is essential before investment consideration.

A&H REHMAN PROPERTIES LTD - Analysis Report

Company Number: 14737576

Analysis Date: 2025-07-29 13:44 UTC

1. Risk Rating: HIGH
   The company shows a negative net asset position (£-16,490) despite holding fixed assets valued at approximately £255k. The current assets (£929) are negligible against current liabilities (£249). More significantly, long-term liabilities exceed total assets by a substantial margin (£272k creditors after more than one year), indicating solvency concerns.

2. Key Concerns:

• Solvency Risk: Net liabilities and significant long-term debts suggest the company may struggle to meet its obligations without additional capital or asset disposals.
• Liquidity Issues: Minimal current assets relative to current liabilities imply limited short-term cash or receivables to cover immediate debts, raising cash flow concerns.
• New Company Status: Incorporated only in March 2023 with first accounts filed for a short initial period; limited financial history restricts assessment of operational stability and business viability.

3. Positive Indicators:

• Fixed Asset Base: Ownership of tangible fixed assets (land and buildings) valued at £254,916 provides some collateral backing.
• No Overdue Filings: Both accounts and confirmation statements are filed on time, suggesting regulatory compliance is being maintained.
• Director Confidence: Directors’ report indicates a belief in going concern status and expected sales growth, signaling management optimism.

4. Due Diligence Notes:

• Verify the nature and terms of the £272k long-term creditors to understand repayment obligations and any security interests.
• Assess cash flow projections and planned funding sources to address liquidity shortfalls.
• Review the business model and rental income streams to confirm revenue generation and sustainability claims.
• Investigate the reasons for negative net assets and whether capital injections or shareholder loans are planned.
• Consider credit checks and background on current director Habib Ur Rahman for governance and management quality.