JR PROP LIMITED

Executive Summary

JR PROP LIMITED, a recently incorporated micro-entity engaged in real estate trading, shows early signs of positive working capital but carries significant long-term liabilities relative to its asset base. While filings are current and governance appears compliant, limited financial history and micro-entity reporting reduce transparency. Further investigation into the company’s liabilities and cash flow is recommended to assess its solvency and operational stability fully.

JR PROP LIMITED - Analysis Report

Company Number: 15025380

Analysis Date: 2025-07-29 12:57 UTC

1. Risk Rating: MEDIUM
   JR PROP LIMITED is an active private limited company incorporated in July 2023 and classified as a micro-entity. While it has reported positive net current assets and net assets, it shows significant long-term creditors almost equal to current assets, which raises moderate solvency concerns for a young company. The absence of audit and limited financial history restricts a full risk assessment.

2. Key Concerns:

• High Long-Term Liabilities: Creditors falling due after more than one year amount to £184,996, which is very close to the current assets (£198,814), indicating potential solvency pressure if these liabilities crystallize before asset realization.
• Limited Operating History: Incorporated less than two years ago with only one set of unaudited accounts, making it difficult to assess operational stability and financial trend reliability.
• Micro-Entity Reporting Exemption: The company benefits from audit exemption and micro-entity accounting provisions, which limits transparency and the depth of financial information available to investors.

3. Positive Indicators:

• Positive Net Current Assets and Net Assets: The company reports net current assets of £195,703 and net assets of £10,707, suggesting a positive working capital position and equity base at this early stage.
• No Overdue Filings: Both accounts and confirmation statement filings are up to date, indicating compliance with statutory requirements and good governance in that respect.
• Concentration of Control: A single person controls 75-100% of shares and voting rights, which may facilitate efficient decision-making and strategic direction.

4. Due Diligence Notes:

• Review the nature and terms of the long-term liabilities (£184,996) to understand repayment schedule, interest obligations, and any security interests.
• Investigate cash flow projections and funding arrangements given the short operating history and sizeable liabilities.
• Confirm the business model sustainability in the real estate trading sector (SIC 68100), including current contracts or asset holdings.
• Assess director background and experience, particularly given the company’s new establishment and concentration of control.
• Monitor future filings for improved financial disclosures, including profit and loss accounts, to better evaluate operational performance.