AMAJECH PROPERTY MANAGEMENT LTD

Executive Summary

AMAJECH PROPERTY MANAGEMENT LTD demonstrates significant solvency and liquidity risks due to negative net assets and substantial long-term liabilities exceeding total assets. While the company is compliant with filing requirements and shows asset growth, serious concerns remain regarding financial stability and operational sustainability. Further detailed financial analysis and creditor scrutiny are recommended before considering investment.

AMAJECH PROPERTY MANAGEMENT LTD - Analysis Report

Company Number: 13917169

Analysis Date: 2025-07-29 18:01 UTC

1. Risk Rating: HIGH
   The company shows significant solvency concerns evidenced by net liabilities in the latest accounts, a very high level of long-term creditors relative to assets, and a negative net asset base which signals financial distress.

2. Key Concerns:

• Negative Net Assets: As of 28 February 2025, net assets are negative (£36,070), indicating liabilities exceed assets, which threatens solvency.
• Heavy Long-Term Debt: Creditors falling due after more than one year stand at £382,606, surpassing total assets, raising risk of default or restructuring.
• Minimal Liquidity: Current assets (£7,037) are vastly outweighed by current liabilities (£400), but the reported net current assets appear inconsistent in the accounts document (possible data error), warranting further scrutiny of cash flow and working capital adequacy.

3. Positive Indicators:

• Active Status and Timely Filings: The company is active with no overdue filings, indicating compliance with statutory obligations and governance.
• Increasing Fixed Assets: Fixed assets increased from £198,515 in 2024 to £339,899 in 2025, suggesting ongoing investment or asset acquisition.
• Shareholder Control Stability: The major shareholder owns 75-100% of shares and voting rights, providing clear control and potentially easier decision-making.

4. Due Diligence Notes:

• Verify Accuracy of Current Assets/Liabilities Figures: The accounts show an unusual figure of creditors within one year as -£400 in 2025, inconsistent with prior years and financial logic; detailed ledger review is needed.
• Assess Nature and Terms of Long-Term Creditors: Understanding the composition, maturity profile, and covenants of the £382,606 long-term liabilities is critical to assessing solvency risk.
• Review Cash Flow Statements and Profitability: As micro-entity accounts provide limited data, request management accounts or cash flow statements to evaluate liquidity and operational cash generation.
• Consider Director and Shareholder Background Checks: While no disqualifications are noted, given financial stress, further checks on directors’ capacity to manage turnaround should be conducted.