ARYRAN PROPERTIES LIMITED

Executive Summary

ARYRAN PROPERTIES LIMITED shows signs of financial strain, primarily due to persistent negative net current assets and a minimal equity buffer. The company’s liquidity position is weak, posing risks to meeting short-term obligations. Immediate steps to strengthen cash flow, reduce debt pressures, and increase capital should be prioritized to improve financial health and sustainability.

ARYRAN PROPERTIES LIMITED - Analysis Report

Company Number: 12609549

Analysis Date: 2025-07-20 16:09 UTC

Financial Health Assessment Report for ARYRAN PROPERTIES LIMITED
Assessment Date: Post 31 May 2024 Financial Year End

---

1. Financial Health Score: D

Explanation:
ARYRAN PROPERTIES LIMITED exhibits signs of financial strain despite maintaining positive net assets. The company’s persistent negative net current assets (working capital deficits), combined with a very low equity base and high levels of long-term liabilities relative to assets, indicate a fragile financial position. This score reflects concerns about liquidity and solvency that require urgent attention.

---

2. Key Vital Signs

Metric	Value (2024)	Interpretation
Fixed Assets	£326,817	Stable investment in property or long-term assets; foundation for business operations.
Current Assets	£31,683	Limited liquid resources available to cover short-term obligations.
Current Liabilities	£236,002	High short-term debts; significantly exceed current assets, indicating liquidity stress.
Net Current Assets (Working Capital)	-£83,266	Negative working capital signals difficulty meeting short-term commitments ("symptom of distress").
Creditors > 1 Year	£236,002	Substantial long-term debt burden; must be managed carefully to avoid solvency risk.
Net Assets (Equity)	£7,549	Very low shareholder equity; indicates minimal financial buffer against losses.
Share Capital	£1.00	Minimal paid-up capital; company relies heavily on debt or retained earnings.
Profit & Loss Account	Not disclosed	No available P&L data; limits assessment of profitability and operational efficiency.

Additional Notes:

• The company has no employees, which might suggest it operates as a property holding or investment vehicle.
• The director holds full control (75-100% ownership), meaning strategic decisions are concentrated.
• Accounts filed on time, showing compliance with statutory obligations.

---

3. Diagnosis

ARYRAN PROPERTIES LIMITED’s financial "vital signs" reveal a business currently in a state of liquidity weakness. The negative working capital (net current assets) is a primary concern, akin to a patient showing symptoms of poor short-term resilience. This means the company may struggle to pay its immediate debts without securing additional funds or refinancing.

While the stable fixed asset base provides some reassurance—like a sturdy skeleton supporting the body—the very low net assets and equity imply limited capacity to absorb financial shocks or losses. The large creditors falling due both within and beyond one year resemble a heavy debt load weighing on the company's financial "heart."

The absence of profit/loss data is a diagnostic gap, preventing insight into operational performance, cash flow health, and profitability trends. However, the stagnant fixed assets and consistent negative working capital over three years suggest the company is not generating sufficient cash inflow to improve liquidity.

---

4. Recommendations

To improve financial wellness and avoid potential financial distress, ARYRAN PROPERTIES LIMITED should consider the following actions:

• Improve Liquidity:

  • Explore refinancing or restructuring short-term liabilities to reduce immediate repayment pressures.
  • Consider injecting additional equity capital to strengthen the balance sheet and provide a liquidity cushion.
  • Review receivables and payables management to accelerate cash inflows and delay outflows where feasible.

• Enhance Cash Flow Management:

  • Prepare and review detailed cash flow forecasts regularly to anticipate funding needs.
  • If appropriate, monetize or leverage fixed assets to unlock cash reserves without compromising core operations.

• Increase Transparency:

  • File full financial statements including Profit & Loss accounts next cycle to enable better performance monitoring.
  • Provide periodic management accounts to track operational efficiency and identify cost-saving opportunities.

• Strategic Review:

  • Evaluate the business model for sustainability—consider diversification or operational changes to generate positive cash flows.
  • Engage professional advice on debt restructuring and financial strategy to avoid solvency risks.

---