Company Number: 14401528

Analysis Date: 2025-07-20 16:49 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Heritique Property Ltd is an early-stage private limited company operating in the real estate sector (buying, selling, and letting own property). While it shows positive net assets of £18,536 for the year ending 31 October 2024, it continues to have significant net current liabilities of approximately £166k, indicating a working capital deficit. The company’s cash position has improved notably to £33,407 from £4,945 the prior year, reflecting better liquidity, yet current liabilities remain high relative to current assets. The absence of an independent valuation of the investment property—stated at £185,000—and no audit provides some uncertainty around asset valuation reliability. Given these factors, credit facilities could be extended with restrictions, subject to monitoring liquidity and stability of cash flow.

2. Financial Strength
   The company’s balance sheet shows modest growth in net assets from £1,809 in 2023 to £18,536 in 2024, primarily due to retained earnings increases. Fixed assets are comprised solely of an investment property valued at £185,000, unchanged from prior year but lacking external validation. Current liabilities are large (£203,794), driven mainly by "other creditors" (£199,754), which likely includes trade payables or short-term financing. The company’s capital base is minimal (£100 share capital). Overall, the financial structure is fragile with an over-reliance on short-term creditors and limited equity buffer.

3. Cash Flow Assessment
   Cash increased substantially in the latest period, improving liquidity. However, current assets (£37,330) are still significantly lower than current liabilities, indicating potential liquidity strain if short-term payables demand immediate settlement. Working capital deficit of £166k is a risk factor for meeting ongoing operational expenses without additional financing or improved receivables collection. The small scale of operations (one employee/director) and minimal debt suggests cash flow volatility could be manageable but requires close scrutiny.

4. Monitoring Points

• Current liabilities trend and ability to reduce short-term creditors.
• Cash flow stability and growth to cover working capital needs.
• Verification and independent valuation of investment property to confirm asset quality.
• Timeliness of future account filings and confirmation statements.
• Director’s management of creditor relationships and debt servicing capacity.