BJA'S SUBWAY LTD
Company number 07426990 · Monitor this company
This analysis was written by an AI from the company's public filings. It may contain errors or omissions and is not financial or professional advice.
Credit Analysis: BJA'S SUBWAY LTD (07426990)
1. Credit Opinion: DECLINE
Decision: DECLINE — with no scope for conditional approval.
Reasoning: The company is dissolved and therefore cannot enter into any credit facilities or commercial agreements. Even if the company were active, the financial profile would warrant a decline based on:
- Persistent insolvency throughout the entire trading history (negative net assets every year from incorporation)
- No evidence of profitability or cash generation capability
- Accumulated losses deteriorating from (£4,734) in 2012 to (£59,198) by 2021
- Minimal share capital of £100 providing no equity cushion
- The accounts explicitly state the entity "No Longer Trades But Traded In Past"
This entity represents a complete credit write-off with no prospect of recovery.
2. Financial Strength
Balance Sheet Position: Critically Impaired
| Year | Net Assets | Total Liabilities | Shareholders' Funds |
|---|---|---|---|
| 2021 | (£59,198) | £59,198 | (£59,198) |
| 2020 | (£59,198) | £59,198 | (£59,198) |
| 2019 | (£59,198) | N/A | (£59,198) |
| 2018 | (£58,048) | N/A | (£58,148) |
| 2017 | (£56,998) | £91,998 | (£57,098) |
| 2016 | (£51,726) | £37,175 | (£51,826) |
| 2015 | (£46,007) | £95,331 | (£46,007) |
| 2014 | (£17,388) | £78,903 | (£17,388) |
| 2013 | (£15,777) | £81,265 | (£15,777) |
| 2012 | (£4,734) | £73,000 | (£4,734) |
Key Concerns:
- Technical Insolvency: The company has been balance-sheet insolvent since incorporation. Liabilities have consistently exceeded assets, with the deficit growing from approximately £5k to nearly £60k.
- No Asset Base: By 2021, total assets appear to be negligible (likely just the £100 share capital offset by accumulated losses). The 2016 accounts showed total assets of £47,449 with only £470 in cash — by 2017, total assets had fallen to £35,000.
- Stagnation 2019-2021: The identical net asset position of (£59,198) across three consecutive years strongly suggests the company ceased meaningful trading activity. No revenue generation, no debt reduction.
- Capital Erosion: Shareholders' funds have deteriorated continuously. The P&L reserve shows accumulated losses of approximately £59k against paid-in capital of just £100 — a near-total erosion of any equity invested.
Conclusion: The balance sheet is irreparably damaged. There is no asset base to support any credit exposure.
3. Cash Flow Assessment
Liquidity Position: Non-existent
| Year | Cash |
|---|---|
| 2016 | £470 |
| 2015 | £232 |
| 2014 | £7,365 |
| 2013 | £8,548 |
| 2012 | £971 |
- Cash Depletion: Cash balances declined from £8,548 in 2013 to just £470 by 2016. No cash data is disclosed for subsequent years, but given the stagnant balance sheet, it is reasonable to infer cash is negligible or zero.
- No Working Capital: Net current assets are deeply negative throughout. The company has been entirely dependent on creditor forbearance and/or director loans to continue.
- No Operating Cash Generation: The consistent accumulation of losses confirms the business never generated sufficient trading profits to service its obligations.
- Debt Service Capacity: Zero. The company cannot service any new or existing debt obligations from operations.
4. Monitoring Points
While this entity is dissolved and requires no ongoing monitoring, the following observations are relevant for any exposure to the director, Zaheer Khan, or related entities:
| Metric | Concern |
|---|---|
| Director's Track Record | Mr. Khan oversaw a decade of continuous losses and insolvency. Any new venture involving this individual warrants enhanced scrutiny. |
| Related Party Exposures | The £59k in liabilities may include director loans. If Mr. Khan is a creditor, he may seek recovery from other business interests. |
| Industry Risk | Unlicensed restaurants/cafes (SIC 56102) remain a high-risk sector with low margins and high failure rates. |
| Dissolution Completeness | Confirmation should be obtained that the dissolution process has properly addressed all creditor claims. If the company was dissolved with outstanding debts, there may be implications for director conduct. |
Additional Risk Factors
- Micro Entity Filing: The company filed as a micro-entity, meaning financial statements provide minimal transparency. No P&L, no cash flow statement, limited balance sheet detail.
- Single Director/Controller: Mr. Khan holds 75%+ of shares, voting rights, and director appointment power — concentrated control with no governance oversight.
- Registered at Accountant's Office: The registered address (c/o Abacus Accountants) suggests the company may not have maintained its own premises, which can be a red flag for operational substance.
- No Principal Activity Description: The accounts state "No description of principal activity," further indicating dormancy or cessation.