DUNWOOD PROPERTIES LIMITED
Company number 04294646 · 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: DUNWOOD PROPERTIES LIMITED
1. Credit Opinion: DECLINE (Standalone) / CONDITIONAL (with Group Support)
Reasoning: This entity is technically insolvent with negative net assets of £182,729 and deteriorating year-on-year. As a standalone credit proposition, the company has zero capacity to service debt obligations. Cash reserves have fallen 90% from £183,795 (2019) to £17,238 (2023), while accumulated losses continue to grow. The only viable path to credit approval would be with a parent company guarantee from Ikshana Management Company Limited or Sentinel Health Care Limited, supported by a full group credit assessment.
2. Financial Strength: CRITICAL
Balance Sheet Position – Severely Impaired:
| Metric | 2023 | 2022 | 2021 | 2020 | 2019 |
|---|---|---|---|---|---|
| Net Assets | (£182,729) | (£178,908) | (£175,790) | (£142,985) | (£134,749) |
| Cash | £17,238 | £18,882 | £27,786 | £406,509 | £183,795 |
| Total Assets | £31,911 | £35,590 | £38,693 | £415,272 | £433,828 |
Key Concerns:
- Persistent Insolvency: Negative net assets have grown by £47,980 over four years, indicating ongoing trading losses with no recovery trajectory.
- Asset Stripping: Total assets have collapsed from £433,828 to £31,911 – a 93% decline. This suggests significant asset transfers out of the company, likely to group entities.
- Minimal Tangible Assets: Only £3,070 in fixed assets (furniture, fittings, vehicles) – no property holdings despite the SIC code indicating building development.
- Share Capital: Just £1,000 called-up share capital against £183,729 accumulated losses – capital is entirely eroded.
The £177,441 Question: The long-term creditor of £177,441 has remained completely static since at least 2019, suggesting this is an inter-company balance from the parent group. While this provides implicit group support, it also means the company is entirely dependent on this facility not being called.
3. Cash Flow Assessment: INADEQUATE
Liquidity Position – Under Stress:
| Metric | 2023 | 2022 |
|---|---|---|
| Current Assets | £31,911 | £35,590 |
| Current Liabilities | (£40,269) | (£40,268) |
| Net Current Assets | (£8,358) | (£4,678) |
| Current Ratio | 0.79x | 0.88x |
Critical Findings:
- Negative Working Capital: The company cannot cover its short-term obligations from current assets. The current ratio has deteriorated from 0.88x to 0.79x.
- Cash Burn: Cash declining by approximately £10,000-£17,000 annually suggests operational cash outflows with no visible revenue generation.
- Debtors Declining: Trade debtors fell from £12,280 to £10,245 – may indicate reduced activity or collection of old balances.
- Stocks Static: £4,428 unchanged year-on-year, suggesting stalled or completed development activity.
No Revenue Visibility: Accounts filed under the small companies regime with no P&L filed. The consistent losses and absence of turnover data raise significant concerns about the viability of the underlying business.
4. Monitoring Points
If credit were extended (with group guarantee), the following require ongoing surveillance:
| Metric | Target | Current | Risk Level |
|---|---|---|---|
| Net Current Assets | Positive | (£8,358) | 🔴 Critical |
| Cash Position | >£25,000 | £17,238 | 🟠 Warning |
| Net Assets Trend | Improving | Deteriorating | 🔴 Critical |
| Current Ratio | >1.0x | 0.79x | 🔴 Critical |
Specific Monitoring Requirements:
- Parent Group Support: Obtain formal comfort letter or guarantee from Ikshana Management Company Limited. Monitor PSC structure for changes.
- Inter-company Balance: Clarify terms of the £177,441 long-term creditor – is it subordinated? On-demand? This determines whether the company could become immediately insolvent if called.
- Director Changes: Two directors resigned in September 2025 (Helen Jones and M D M Davies). M D M Davies signed the 2023 accounts – his departure requires understanding. Assess remaining board composition.
- Asset Transfers: Investigate the significant asset reduction from £433k to £32k between 2019-2023. Were properties transferred to group entities at market value?
- Activity Level: Clarify whether this entity is actively trading or functioning as a dormant property-holding vehicle within the group.
- Filing Compliance: Next accounts due 01/12/2026 – monitor for timely filing.