Company Number: 14629067

Analysis Date: 2025-07-29 16:42 UTC

Financial Health Assessment: MURABA SPV 20 LTD (As of 31 January 2024)

---

1. Financial Health Score: B

Explanation:
MURABAHA SPV 20 LTD exhibits solid foundational financial health for a micro-entity in its first year of operation. The company shows positive net assets and strong working capital, indicating a stable financial position. However, as a newly incorporated company with limited operational history and no revenue or profit data disclosed, the score is tempered to B, reflecting good early-stage health but a need for ongoing monitoring and development.

---

2. Key Vital Signs

Metric	Value (£)	Interpretation
Fixed Assets	54,528	Indicates investment in long-term assets, a positive capital base.
Current Assets	83,329	Represents liquid resources and short-term assets—healthy liquidity.
Current Liabilities	19,439	Obligations due within a year; manageable relative to assets.
Net Current Assets	63,890	Strong working capital ("healthy cash flow cushion").
Creditors > 1 Year	18,417	Longer-term liabilities, moderate level but should be monitored.
Net Assets (Shareholders Funds)	100,001	Positive equity position, indicating solvency and retained value.
Employees	0	No staff employed yet; typical for a holding or special purpose vehicle.

• Liquidity: The current assets exceed current liabilities by over £60k, suggesting the company can comfortably cover short-term debts without liquidity stress.
• Solvency: Positive net assets and shareholders' funds confirm the company is solvent with a buffer above total liabilities.
• Leverage: Moderate long-term creditors indicate some leveraging, but within manageable limits given the asset base.
• Operational Activity: No employees and no revenue or P&L data suggest this might be a special purpose vehicle (SPV) or holding company with minimal operational complexity.

---

3. Diagnosis

MURABAHA SPV 20 LTD is in a stable and solvent financial state typical for a micro-entity newly incorporated in 2023. The "vital signs" indicate no symptoms of financial distress such as negative working capital or excessive leverage. The company’s balance sheet shows a healthy cushion of net current assets that supports day-to-day operations, assuming it maintains its current activity level.

Given the nature of the business classified under SIC 66120 (Security and commodity contracts dealing activities), and the fact that it is fully owned by Qardus Limited (holding 75-100% shares and voting rights), the company likely functions as a special purpose vehicle for financial transactions or contract management rather than a traditional trading company.

The main financial "symptom" to monitor is the reliance on creditors, especially longer-term liabilities, which constitute about 18% of total net assets. While not alarming, this suggests the company is using some external financing or contractual obligations that should be managed proactively.

---

4. Recommendations

• Maintain Liquidity Vigilance: Continue to monitor current assets and liabilities to ensure working capital remains robust, particularly if operational activities increase.
• Manage Debt Levels: Evaluate the terms and conditions of long-term creditors to avoid potential refinancing risks or covenant breaches.
• Expand Financial Reporting: As the company grows, consider enhancing financial disclosures beyond micro-entity provisions to provide stakeholders with better insight into operational performance.
• Operational Planning: If the company starts active trading or contract dealings, implement budgeting and cash flow forecasting to detect early signs of financial strain.
• Governance: Ensure that director, Mr. DAHER, maintains strong oversight given the company's sole ownership by Qardus Limited, to align financial strategy with shareholder interests.
• Compliance: Keep up with filing deadlines for accounts and confirmation statements to avoid penalties and maintain good standing.

---