GRAHAM PROPERTY SERVICES LTD

Executive Summary

GRAHAM PROPERTY SERVICES LTD is a start-up micro-entity with a deficit balance sheet and negative working capital, indicating financial weakness and limited capacity to service credit. The company’s lack of trading history and negative net assets present a high credit risk. Close monitoring of future financial improvements and cash flow is essential before reconsidering credit facilities.

GRAHAM PROPERTY SERVICES LTD - Analysis Report

Company Number: 14935404

Analysis Date: 2025-07-29 13:55 UTC

1. Credit Opinion: DECLINE
   GRAHAM PROPERTY SERVICES LTD is a newly incorporated micro-entity with its first accounting period ending June 2024. The company shows net current liabilities of £55,931 and negative shareholders’ funds of the same amount, indicating a balance sheet deficit. This weak financial position, combined with no employees and limited trading history, suggests an inability to reliably service debt or credit obligations at this stage. Without evidence of capital injection or improving profitability, extending credit would carry high risk.

2. Financial Strength:
   The balance sheet reveals a net liability position (£-55,931) and negative working capital, reflecting that current liabilities exceed current assets. As a micro-entity in the construction sector, the company likely relies on timely cash flow to operate. The absence of fixed assets or retained earnings further weakens the financial foundation. This deficit equity signals initial losses or start-up costs not yet offset by revenue, limiting financial resilience.

3. Cash Flow Assessment:
   Current assets of £167,030 presumably include cash and receivables, but current liabilities of £224,669 outweigh this, producing a net current liability position. This means the company may face short-term liquidity challenges meeting obligations as they fall due. No employees are recorded, so payroll cash outflows are minimal, but creditor payments and operating expenses likely stress liquidity. Without positive cash flow generation or external funding, risks of payment delays exist.

4. Monitoring Points:

• Improvement in net current assets and shareholders’ funds in next accounts.
• Evidence of operational revenue and profitability.
• Changes in creditor balances relative to cash and receivables.
• Director’s capital contributions or external funding to strengthen balance sheet.
• Timeliness of future filings and any overdue returns or accounts.