EBMP PROPERTIES LIMITED

Executive Summary

EBMP PROPERTIES LIMITED exhibits high financial risk characterized by negative net assets and poor liquidity, which raises concerns about its ability to meet short- and long-term obligations. Despite compliance with filing requirements and a stable asset base, the significant creditor position and limited current assets suggest operational and solvency challenges. Further investigation into creditor arrangements, cash flows, and management capacity is essential before considering investment.

EBMP PROPERTIES LIMITED - Analysis Report

Company Number: 13305689

Analysis Date: 2025-07-29 12:49 UTC

1. Risk Rating: HIGH
   The company shows negative shareholders’ funds and net assets in both 2023 and 2024, indicating insolvency on a balance sheet basis. Current liabilities significantly exceed current assets, raising liquidity concerns. The fixed asset base is stable but overshadowed by substantial long-term liabilities.

2. Key Concerns:

• Negative Net Assets/Equity: The company has net liabilities of approximately £6,000, which suggests it may not be solvent under accounting standards.
• Liquidity Mismatch: Current assets (£453 in 2024) are markedly lower than current liabilities (£29,559 in 2024), indicating potential cash flow or working capital issues.
• Consistently High Creditors: Creditors falling due after more than one year remain constant at £57,732, a significant liability relative to the company’s size and asset base, which could pressure future cash flows.

3. Positive Indicators:

• Filing Compliance: Accounts and confirmation statements are up to date with no overdue filings, reflecting good regulatory compliance.
• Stable Fixed Assets: Fixed assets have remained steady at £80,865 over the years, suggesting the company maintains some tangible asset base.
• Micro-entity Status: The company qualifies as a micro-entity, reducing administrative burden and potentially lowering ongoing costs.

4. Due Diligence Notes:

• Review nature and terms of long-term creditors: Understand the composition, repayment schedules, and whether any refinancing or restructuring has been planned or executed.
• Examine cash flow statements and trading performance: Limited data is available; additional insight into operational cash flows and profitability is needed to assess sustainability.
• Director background and other business interests: The sole director’s occupation (rugby player) may raise questions on management expertise in real estate; investigate governance and operational involvement.
• Confirm any contingent liabilities or off-balance sheet commitments: Not disclosed but potentially material given the liabilities structure.
• Assess future business plans and funding sources: Given the negative equity and liquidity position, ascertain how the company intends to meet obligations and sustain operations.