BUILDING WARRANT PLANS LTD

Executive Summary

Building Warrant Plans Ltd is currently financially weak, showing negative net assets and no turnover, which undermines its capacity to service debt. The company’s minimal cash resources and reliance on creditor funding suggest a high credit risk. Without clear evidence of improved profitability or financial support, credit facilities are not recommended at this time.

BUILDING WARRANT PLANS LTD - Analysis Report

Company Number: SC689349

Analysis Date: 2025-07-29 21:01 UTC

1. Credit Opinion: DECLINE
   Building Warrant Plans Ltd shows a weak financial position with recurring net liabilities, minimal current assets, and no turnover in the last reported year. The company’s negative net assets and dependence on long-term creditors (£1,000) with no evident revenue generation raise serious concerns regarding its ability to service any new or existing debt. Given the absence of fixed assets and minimal working capital, the risk of default is high without a clear turnaround or capital injection.

2. Financial Strength:
   The company’s balance sheet reveals persistent net liabilities: as of 28 February 2024, net assets stand at a negative £905, worsening from prior years. Current assets are negligible (£95), and current liabilities are reported at zero, but there is a long-term creditor figure of £1,000, indicating reliance on external funding. The absence of fixed assets and low capital base (£1 share capital) suggest limited financial resilience or collateral value.

3. Cash Flow Assessment:
   With only £95 in current assets and no turnover reported in the year ending 2024, liquidity is critically constrained. The company’s working capital position is insufficient to cover any short-term operational expenses or debt repayments. The average employee count is just one, indicating a very small scale of operations, further limiting cash inflows. Without operating income or significant cash reserves, the company’s ability to generate positive cash flow is doubtful.

4. Monitoring Points:

• Turnover and cash generation: Watch for any signs of revenue growth and improved cash flow.
• Net asset position: Monitor whether capital injections or profit retention improve equity.
• Creditor profile: Assess any changes in creditor terms or increases in liabilities.
• Filing compliance: Ensure timely submission of accounts and confirmation statements to avoid regulatory risk.