GALLAGHER PROPERTIES SCOTLAND LIMITED

Executive Summary

Gallagher Properties Scotland Limited is a micro-entity involved in property letting with fixed assets providing collateral but limited liquidity and low equity. The company’s current liabilities significantly exceed current assets, indicating working capital pressure and potential refinancing risk. Credit exposure should be cautiously limited with ongoing monitoring of liquidity and financial filings.

GALLAGHER PROPERTIES SCOTLAND LIMITED - Analysis Report

Company Number: SC682347

Analysis Date: 2025-07-29 20:31 UTC

1. Credit Opinion: CONDITIONAL APPROVAL. Gallagher Properties Scotland Limited is a micro-entity operating in real estate letting. The company shows positive net assets but at a low level (£8,935) with a significant amount of long-term creditors (£104,785). Current liabilities exceed current assets by a large margin, indicating working capital pressure. The business appears dependent on long-term financing with limited liquidity. Given the size and nature of the company, credit exposure should be limited and monitored closely. Approval is recommended with conditions such as maintaining up-to-date filings and monitoring liquidity closely.

2. Financial Strength: The balance sheet shows fixed assets of £180,000, likely property holdings, which provide collateral value. However, net current liabilities of approximately £66,280 reflect an imbalance in short-term resources to pay current debts. Total net assets are positive but minimal at £8,935, down from £12,848 the prior year, indicating slight erosion of equity. The company is highly leveraged with creditors after one year of £104,785 almost matching fixed assets. Overall, the financial strength is weak to moderate, reliant on asset-backed financing and with limited equity buffer.

3. Cash Flow Assessment: The current assets are nominal (£4,517) and insufficient to cover current liabilities (£70,797), indicating potential liquidity risk in meeting short-term obligations. The micro-entity status suggests limited operating scale and cash generation. Without detailed cash flow statements, it is prudent to assume tight working capital. The small number of employees (1) may help contain operating expenses. Cash flow management and refinancing risk should be key considerations in credit decisions.

4. Monitoring Points:

• Liquidity ratios and working capital position at next accounts filing
• Timely submission of statutory accounts and confirmation statements
• Changes in creditor profile, especially short-term vs long-term debt
• Any increase in equity or reduction in liabilities to improve financial strength
• Operational performance and rental income trends given real estate focus
• Director conduct and any changes in ownership or control structure