JAYJEFF PROPERTIES LTD

Executive Summary

JAYJEFF PROPERTIES LTD shows signs of financial distress with negative net assets and net current liabilities indicative of solvency and liquidity risks. However, compliance with filings and significant real estate stock provide some operational foundation. Further examination of cash flows, loan terms, and asset valuations is essential to fully evaluate the company’s viability.

JAYJEFF PROPERTIES LTD - Analysis Report

Company Number: 14156288

Analysis Date: 2025-07-29 19:51 UTC

1. Risk Rating: HIGH
   The company exhibits a negative net asset position and persistent net current liabilities, indicating solvency concerns. The increase in short-term borrowings and trade creditors without corresponding liquid assets signals liquidity risk. The absence of profit and the deficit in shareholders' funds further stress operational sustainability.

2. Key Concerns:

• Negative net assets (£-4,363) and shareholders' deficit, which suggest the company is insolvent on a balance sheet basis.
• Net current liabilities (£4,363) driven by high short-term bank loans (£1.13M) and trade/other creditors exceeding current assets significantly, raising liquidity risk.
• Lack of profitability information due to exemption from delivering an income statement, limiting insight into operational performance and cash flows.

3. Positive Indicators:

• The company is compliant with filing deadlines for accounts and confirmation statements, reflecting good regulatory compliance.
• Presence of tangible stock assets valued at £2.28M, potentially representing real estate holdings aligned with its SIC classification (buying and selling own real estate).
• Directors are actively involved, with a named property developer as director and significant shareholders identified, which may indicate committed ownership.

4. Due Diligence Notes:

• Review detailed income statement and cash flow data to assess operational cash generation and sustainability, currently unavailable due to exemption.
• Investigate the nature and terms of bank loans and other creditors to understand repayment obligations and security interests, including the impact of secured bank loans of £1.13M.
• Assess valuation and marketability of stock (real estate assets) to determine potential for asset liquidation or income generation.
• Confirm no director disqualifications or governance issues beyond the data provided, especially considering the short operating history since incorporation in 2022.