MACLEAN UK LTD.
Company number SC306353 · Monitor this company
This analysis was written by an AI from the company's public filings. It may contain errors or omissions and is not financial or professional advice.
CREDIT ANALYSIS REPORT: MACLEAN UK LTD.
1. Credit Opinion: CONDITIONAL
Rationale: MacLean UK Ltd presents a fundamentally sound balance sheet with strong equity, minimal leverage, and a demonstrable long-term growth trajectory. However, the conditional rating reflects two key concerns: (1) the recent erosion of shareholders' funds by £9,485 (2.9%) between 2024 and 2025, which could indicate either trading losses or significant dividend extraction, and (2) the limited financial transparency inherent in micro-entity filings, which obscures profitability and cash flow visibility. Any credit facility should be conditional on receiving management accounts confirming sustained profitability and clarifying the drivers behind the recent decline in equity.
2. Financial Strength
Balance Sheet Summary (Year Ending 30 November 2025):
| Metric | 2025 | 2024 | 2023 |
|---|---|---|---|
| Fixed Assets | £13,905 | £21,154 | N/A |
| Current Assets | £325,670 | £350,042 | N/A |
| Total Assets | £339,575 | £371,196 | £379,337 |
| Current Liabilities | (£33,028) | (£53,946) | (£80,284) |
| Net Current Assets | £300,390 | £302,626 | N/A |
| Shareholders' Funds | £314,295 | £323,780 | £305,573 |
Key Observations:
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Strong Equity Base: Shareholders' funds of £314,295 represent 92.6% of total assets. The company is overwhelmingly equity-funded with minimal reliance on debt.
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Long-Term Growth Trajectory: Equity has grown from £49,251 (2016) to £314,295 (2025)—a compound annual growth rate of approximately 23% over nine years. This demonstrates sustained value creation.
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Liability Reduction: Current liabilities have reduced dramatically from £107,804 (2021) to £33,028 (2025), suggesting active deleveraging or settlement of trade creditors.
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Current Ratio: £325,670 / £33,028 = 9.86:1—extremely liquid. The company can comfortably meet short-term obligations nearly ten times over.
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Gearing: Negligible. The company appears to carry no long-term debt, and current liabilities are modest relative to the asset base.
Concerns:
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Asset Concentration: 95.9% of total assets are current assets. Without a detailed breakdown, we cannot assess the quality (i.e., how much is cash vs. trade debtors vs. stock). Illiquid or aged debtors could overstate the true liquidity position.
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Fixed Asset Decline: Fixed assets decreased from £21,154 to £13,905 (34% reduction), suggesting either depreciation without replacement or disposals. This may indicate underinvestment in the asset base, which could impact future trading capacity.
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Recent Equity Erosion: The £9,485 decline in shareholders' funds (2024→2025) warrants investigation. Given no obvious increase in liabilities, this likely reflects either a trading loss or dividend extraction. Either scenario has different credit implications.
3. Cash Flow Assessment
Liquidity Position:
The company's liquidity appears robust on paper: - Net current assets of £300,390 provide substantial working capital headroom - Current liabilities of only £33,028 suggest minimal near-term cash demands - The working capital position has been consistently positive throughout the 10-year history
Working Capital Concerns:
- Limited Visibility: Micro-entity accounts provide no cash flow statement, no debtor ageing, and no creditor payment terms. We cannot assess:
- Debtor collection periods
- Creditor payment behaviour
- Operating cash conversion
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Working capital cycle efficiency
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Cash Flow Dependency: As a repair business (SIC 33190), the company likely operates on a mix of contract and ad-hoc work. Revenue visibility and cash flow predictability may be variable depending on client concentration and contract terms.
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Dividend Policy: Mr Gordon Maclean owns 75%+ of shares. The recent equity decline may reflect dividend extraction rather than trading losses. Significant dividend extraction could constrain internal cash generation for reinvestment.
Debt Service Capacity:
Based on available data, the company has significant capacity to service debt: - Modest liabilities suggest no existing debt servicing burden - Strong asset base provides collateral coverage - However, without profit & loss data, we cannot calculate interest coverage ratios or assess cash flow available for debt service
4. Monitoring Points
| Metric | Rationale | Frequency |
|---|---|---|
| Management Accounts | Critical gap—micro-entity filings provide no P&L or cash flow data. Require quarterly management accounts to monitor trading performance, margins, and cash conversion. | Quarterly |
| Debtor Ageing | Current assets constitute 95.9% of total assets. Must verify quality—request aged debtor reports to assess collectability and concentration risk. | Quarterly |
| Equity Movement | Track whether the 2024→2025 decline is a one-off (dividends/exceptional) or the start of a downward trend. Request explanation from management. | Annual |
| Fixed Asset Investment | Monitor capital expenditure to ensure the business is maintaining its operational capacity, given the 34% decline in fixed assets. | Annual |
| Key Person Risk | Mr Gordon Maclean holds 75%+ ownership. Any credit facility should include key person provisions or require personal guarantees. | At facility inception |
| Creditor Payment Behaviour | Request trade references and monitor payment patterns to assess whether the company pays suppliers within terms. | Ongoing |
| Sector Conditions | Equipment repair (SIC 33190) may be sensitive to industrial investment cycles. Monitor macro conditions affecting client capex decisions. | Semi-annual |
Additional Considerations
Corporate History: The company has traded since 2006 (originally as Miller Partners UK Ltd, then Millar Partners UK Ltd, rebranded to MacLean UK Ltd in 2007). The name changes at incorporation are common and not concerning.
Filing Compliance: Accounts and confirmation statements are up to date with no overdue filings. This indicates good administrative governance.
Director Conduct: No disqualification records are evident for the directors (Gordon Maclean and John Henderson Ingram). The company secretary (David Grant Anderson) appears to be a professional appointment, which is a positive governance indicator.
Audit Status: The company is audit-exempt under Section 477 of the Companies Act 2006 and files micro-entity accounts. While legally compliant, this significantly limits the financial information available for credit assessment.