MIRO PROPERTY INVESTMENT LTD

Executive Summary

Miro Property Investment Ltd is an active Scottish private limited company with a tangible investment property asset but currently exhibits a weak financial position marked by negative net assets and significant current liabilities. The company’s reliance on an interest-free related party loan repayable on demand heightens liquidity risk, although timely filings and director expertise provide some governance reassurance. Close due diligence on asset valuations, loan arrangements, and operational plans is recommended to better understand the company’s risk profile and future viability.

MIRO PROPERTY INVESTMENT LTD - Analysis Report

Company Number: SC787121

Analysis Date: 2025-07-29 12:40 UTC

1. Risk Rating: HIGH
   The company demonstrates a negative net asset position, significant current liabilities exceeding current assets, and reliance on related party loans repayable on demand, indicating elevated solvency and liquidity risks typical of a newly incorporated property investment entity.

2. Key Concerns:

• Negative Net Assets and Working Capital Deficit: Net assets stand at -£5,058 and net current liabilities at -£43,124, signaling balance sheet weakness and potential inability to meet short-term obligations.
• Related Party Loan Repayable on Demand: £45,000 interest-free loan from a related company is unsecured and repayable on demand, which could precipitate liquidity strain if called unexpectedly.
• Absence of Income and Employees: No employees and no disclosed turnover or operational revenue beyond rental income recognition policy raise questions about operational sustainability and cash flow generation.

3. Positive Indicators:

• Ownership of Investment Property: Fixed assets comprise a residential investment property valued at £128,629, providing a tangible asset base with potential for rental income and capital appreciation.
• No Overdue Filings or Compliance Issues: Accounts and confirmation statements are filed on time, indicating sound regulatory compliance and governance discipline.
• Director Expertise and Control: The sole director is a Chartered Surveyor with 75-100% ownership, implying industry knowledge and direct control over company decisions.

4. Due Diligence Notes:

• Verify the current fair value and marketability of the investment property and potential rental income streams.
• Assess the stability and intentions regarding the related party loan, including any informal agreements or expected repayment timelines.
• Clarify the company’s business plan, particularly how it intends to improve liquidity and move toward profitability.
• Confirm absence of contingent liabilities or off-balance-sheet risks not disclosed in the financials.
• Monitor cash flow forecasts and any planned capital injections or external financing arrangements.