Company Number: 13939672

Analysis Date: 2025-07-29 19:52 UTC

1. Credit Opinion: DECLINE
   Amedics Property Solutions Ltd demonstrates weak financial health with negative net assets of £2,758 as of 28 February 2024, deteriorating from net assets of £100 in the prior year. The company’s current liabilities significantly exceed current assets by £421,126, primarily due to amounts owed to group undertakings and other creditors. This indicates poor short-term liquidity and an inability to meet debt obligations without external support. The company's reliance on related party funding and absence of operational cash flow raises concerns about sustainability and repayment capacity. Given these factors, extending credit would pose a high risk.

2. Financial Strength:
   The company’s balance sheet is heavily leveraged with fixed assets of £418,368 but negative net current assets of £421,126, resulting in negative shareholders’ funds. The fixed asset addition in 2024 suggests some investment in property; however, this is outweighed by current liabilities. The capital structure is weak with only £100 in issued share capital and an accumulated loss reflected in the profit and loss reserve. The negative equity position signals erosion of capital and potential insolvency risk if losses continue.

3. Cash Flow Assessment:
   Current assets consist solely of a nominal £100 in debtors, with no cash reported, while current liabilities total £421,226 due within one year. This creates a severe liquidity shortfall. The company’s working capital is deeply negative, indicating inability to cover short-term obligations from liquid resources. There is no evidence of operating cash flow or income generation to service debts, suggesting dependence on group loans or equity injections to meet immediate liabilities.

4. Monitoring Points:

• Track changes in net working capital and liquidity ratios to assess improvements or further deterioration.
• Monitor related party debt levels and repayment terms to gauge funding sustainability.
• Review subsequent filings for any capital injections or restructuring efforts.
• Watch for any overdue filings or signs of financial distress such as late payments or legal actions.