EYISAB PROPERTY INVESTMENTS LIMITED

Executive Summary

EYISAB Property Investments Limited shows weak financial health characterized by persistent negative equity and poor liquidity, raising significant credit risk concerns. The company’s high leverage and negative working capital undermine its capacity to meet debt obligations without external support. It is advised to decline credit facilities until financial stability improves.

EYISAB PROPERTY INVESTMENTS LIMITED - Analysis Report

Company Number: 13129885

Analysis Date: 2025-07-20 12:52 UTC

1. Credit Opinion: DECLINE
   EYISAB Property Investments Limited presents a concerning credit profile. The company has persistent net liabilities and negative shareholders’ funds over multiple years, indicating ongoing losses or accumulated deficits. Current liabilities significantly exceed current assets, resulting in a negative working capital position that undermines short-term liquidity and repayment capacity. The fixed assets are stable but financed largely through long-term creditors, suggesting high leverage and limited equity buffer. Given these factors and absence of reported profits or operational growth, the ability to service new debt or meet commercial obligations is doubtful without substantial capital injection or restructuring.

2. Financial Strength:
   The balance sheet reveals fixed assets of £268,300 consistently over the four years, indicating investment in property or real estate assets aligned with its industry. However, current liabilities remain high at £191,974, while current assets are minimal (£7,106 in 2024), leading to net current liabilities of £82,211. The company’s net assets and shareholders’ funds are negative (£-6,785 as of January 2024), showing erosion of equity capital and financial weakness. The long-term creditors exceed total assets less current liabilities, highlighting a heavy debt burden. This leverage level is risky and limits financial flexibility.

3. Cash Flow Assessment:
   The company’s liquidity position is poor, with current liabilities far outstripping current assets, indicating insufficient working capital to cover short-term obligations. There is no indication of operational cash inflows or profits to improve cash flow, and the absence of employees suggests limited operational activity or outsourcing. Without cash flow from operations or external funding, the company may struggle to meet immediate payable commitments, increasing default risk.

4. Monitoring Points:

• Track changes in net current assets and net liabilities to detect any improvement or further deterioration in liquidity and solvency.
• Monitor any capital injections or shareholder loans that could strengthen equity and reduce leverage.
• Review future filings for evidence of operational income or profitability to support cash generation.
• Watch for changes in creditor terms or restructuring efforts that may affect debt servicing capacity.