HUNTE & CO. PROPERTY DEVELOPMENT LTD

Executive Summary

HUNTE & CO. PROPERTY DEVELOPMENT LTD is a newly formed micro-entity with a negative net asset position and severely constrained liquidity, indicating an inability to meet its current liabilities. The company’s financial data reflects early-stage operational risk and insufficient capital base, leading to a recommendation to decline credit at this time. Ongoing monitoring of financial improvements and operational progress is essential before reconsidering credit facilities.

HUNTE & CO. PROPERTY DEVELOPMENT LTD - Analysis Report

Company Number: 14761551

Analysis Date: 2025-07-20 15:10 UTC

1. Credit Opinion: DECLINE
   HUNTE & CO. PROPERTY DEVELOPMENT LTD, incorporated in March 2023, shows very weak financial health at its first year-end (March 2024). The company reports negative net current assets of £5,681 and net liabilities, indicating an inability to meet short-term obligations. This micro-entity has minimal current assets (£1) against current liabilities of £5,682, showing a critical liquidity deficiency. Without evidence of revenue generation or cash inflows, the company’s capacity to service any debt or credit facility is highly questionable. Given the limited operating history and negative working capital, credit approval is not recommended at this stage.

2. Financial Strength:
   The balance sheet portrays a net liability position with total net assets at -£5,681. The absence of fixed assets and the minimal current assets reflect no tangible resources or capital base to support operations or absorb losses. Shareholders’ funds are negative, indicating accumulated losses or initial funding shortfalls. As a newly incorporated entity with no employees and no audit requirement, it lacks operational scale or financial reserves. The financial trajectory cannot be established yet, but the initial position is weak and poses high risk.

3. Cash Flow Assessment:
   The cash position is negligible (£1 of current assets), while current liabilities exceed assets by £5,681. This negative working capital highlights poor liquidity and an inability to cover immediate debts. The lack of employees and presumably minimal activity suggest either a startup phase or dormant operational status, but the liability burden remains. Without cash flow from operations or external funding, the company cannot demonstrate capacity to meet short-term obligations or fund business activities.

4. Monitoring Points:

• Monitor subsequent accounts for improvement in net current assets and liquidity position.
• Track revenue generation and operating cash flow to assess business viability.
• Review any changes in capital structure or new funding injections to support working capital.
• Maintain oversight on director’s actions and potential related-party transactions given sole control by a single director and shareholder.
• Watch for overdue filings or signs of financial distress as the company matures.