GFYS LIMITED

Executive Summary

GFYS Limited is a relatively new property letting company with a solid fixed asset base and positive net assets, but it carries significant long-term liabilities and minimal working capital. While regulatory compliance is current, limited operational data and substantial gearing warrant further investigation into cash flow stability and creditor terms. Overall, the company exhibits medium risk primarily due to liquidity and leverage considerations.

GFYS LIMITED - Analysis Report

Company Number: 13625646

Analysis Date: 2025-07-29 19:54 UTC

1. Risk Rating: MEDIUM
   The company shows positive net assets and shareholder funds, indicating solvency on paper, but the high level of long-term creditors relative to assets suggests leverage risk. The modest net current assets provide limited liquidity buffer.

2. Key Concerns:

• High Long-Term Creditors: £405,258 of liabilities due after more than one year against fixed assets of £464,070 indicates significant gearing and potential refinancing risk.
• Low Current Assets: Current assets (£5,001 debtors) barely exceed current liabilities (£1,750), leaving minimal working capital and potential short-term liquidity vulnerability.
• Limited Operational Data: Absence of income statement and profit/loss details restricts assessment of profitability and operational cash flow, impeding a full sustainability evaluation.

3. Positive Indicators:

• Growing Net Assets: Net assets increased from £12,821 in 2022 to £62,063 in 2023, reflecting an improving equity position.
• No Overdue Filings: Accounts and confirmation statements are up to date, showing regulatory compliance and good governance.
• Tangible Fixed Assets: Ownership of property assets provides a substantial asset base which can support borrowing or sale if needed.

4. Due Diligence Notes:

• Obtain detailed profit and loss statements and cash flow reports to evaluate operational performance and cash generation.
• Clarify the nature and terms of the long-term creditors to assess repayment schedules, interest obligations, and refinancing risks.
• Review director background and any PSC disclosures for governance and control transparency.
• Verify if there are any contingent liabilities or off-balance sheet obligations not reflected in the accounts.
• Confirm the valuation method for tangible fixed assets and any impairments or revaluations.