NARWAN PROPERTY MANAGEMENT LLP

Executive Summary

Narwan Property Management LLP maintains a strong asset base primarily in investment property but displays negative working capital and significant long-term liabilities that pose liquidity and solvency risks. The absence of profit and loss data restricts full operational assessment, warranting further financial and contractual review. Overall, the company is solvent with equity support but requires closer scrutiny of cash flow and debt servicing capacity.

NARWAN PROPERTY MANAGEMENT LLP - Analysis Report

Company Number: OC438815

Analysis Date: 2025-07-29 17:00 UTC

1. Risk Rating: MEDIUM
   The company shows strong asset backing through investment property valued at approximately £5.6m; however, net current liabilities and significant long-term creditors exceeding £1.45m represent solvency and liquidity considerations that moderate the risk rating.

2. Key Concerns:

• Negative net current assets (working capital deficits) of £763 indicate potential short-term liquidity stress.
• Large long-term creditor balance (£1.46m) relative to current assets, which may imply significant debt obligations or payables that require servicing.
• Lack of income statement and profit/loss disclosure limits assessment of operational profitability and cash flow generation.

3. Positive Indicators:

• Substantial investment property asset valued consistently at £5.6m supporting the balance sheet strength.
• No overdue filings and current status as active with no liquidation or administration reported, indicating compliance with statutory obligations.
• Members’ capital accounts stable at over £4.1m, showing committed equity backing.

4. Due Diligence Notes:

• Clarify nature and terms of the £1.46m long-term creditors to assess repayment schedules and impact on cash flow.
• Obtain income statement or management accounts to evaluate operational performance, revenue streams, and cash flow sufficiency.
• Review members’ current accounts and any intercompany or related party transactions for financial stability and related party risk.
• Confirm valuation method and assumptions for investment property to ensure asset values are realistic and realizable.
• Understand business model and client base supporting the LLP given zero employees and limited debtor balances.