ML CLEANING AND MAINTENANCE SERVICES LIMITED

Executive Summary

ML Cleaning And Maintenance Services Limited maintains a solvent balance sheet with positive working capital and compliance with filing obligations. However, its low cash reserves relative to liabilities and short trading history introduce some liquidity and operational continuity concerns. Further review of cash flow and debtor quality is recommended to confirm financial stability.

ML CLEANING AND MAINTENANCE SERVICES LIMITED - Analysis Report

Company Number: 13888337

Analysis Date: 2025-07-20 17:19 UTC

1. Risk Rating: LOW to MEDIUM
   The company demonstrates positive net current assets and net assets with no overdue filings. However, the relatively low cash balance compared to debtors and current liabilities, combined with its short operating history, suggests moderate liquidity risk.

2. Key Concerns:

• Liquidity risk due to low cash reserves (£3,011) relative to current liabilities (£23,337), implying potential cash flow timing issues despite positive working capital.
• High concentration of control and shareholding by a single individual (Ms Nelia Maria Gouveia), which may pose governance and succession risks.
• Limited operating history (incorporated in 2022) restricts the ability to assess long-term operational stability and financial performance trends.

3. Positive Indicators:

• Positive net current assets (£14,675) and net assets (£16,749) indicate the company is solvent on a balance sheet basis.
• No overdue accounts or confirmation statements filings, reflecting compliance with regulatory requirements.
• Growth in trade debtors from £20,284 in 2023 to £35,001 in 2024 suggests increasing sales or client base.
• The company operates within a well-defined SIC code (81210 – general cleaning of buildings), indicating a focused business activity.

4. Due Diligence Notes:

• Investigate accounts receivable aging and collection practices to assess the quality of debtors and potential liquidity strains.
• Review cash flow statements or management accounts, if available, to better evaluate liquidity and operational cash generation.
• Examine the impact of director changes in March 2024 and any strategic shifts associated with this.
• Assess related party transactions, including director advances, to understand financial support and potential conflicts of interest.
• Confirm the adequacy of provisions for liabilities (£486) and any contingent liabilities not disclosed in filings.