ONE SPACE PROPERTY MANAGEMENT LIMITED

Executive Summary

ONE SPACE PROPERTY MANAGEMENT LIMITED currently shows signs of financial stress with negative working capital and shareholders’ funds, indicating liquidity and capitalization challenges. The company must urgently improve cash flow and seek capital injections to avoid worsening financial health. Maintaining regulatory compliance is a positive sign, but proactive management actions are essential for recovery and sustainable operations.

ONE SPACE PROPERTY MANAGEMENT LIMITED - Analysis Report

Company Number: 13203452

Analysis Date: 2025-07-20 12:03 UTC

Financial Health Assessment of ONE SPACE PROPERTY MANAGEMENT LIMITED

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1. Financial Health Score: D

Explanation:
The company exhibits several concerning financial vital signs that indicate financial distress. Negative net current assets, negative shareholders’ funds, and low cash reserves relative to current liabilities suggest a fragile liquidity position and insufficient capital backing. While the company is still active and filing on time, these symptoms reflect financial strain that requires urgent attention.

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2. Key Vital Signs

Metric	31-Mar-2024	Interpretation
Cash at Bank	£4,732	Limited cash buffer for day-to-day operations; may struggle to meet immediate obligations.
Current Liabilities	£25,314	Debts and obligations due within one year; significantly higher than cash available.
Net Current Assets	-£20,582	Negative working capital; current liabilities exceed current assets — a "symptom of distress."
Shareholders’ Funds (Equity)	-£20,682	Negative equity indicates accumulated losses or undercapitalization; "financial anemia."
Fixed Assets	£0	No capital investment in long-term assets; possibly a service-based or asset-light business.
Employees	0	No employees reported; may suggest minimal operational scale or outsourcing.

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3. Diagnosis

The financial “vital signs” point toward a company struggling with liquidity and capital adequacy. Negative net current assets indicate the company does not have enough short-term assets to cover its short-term liabilities, a classic symptom of liquidity stress. The negative shareholders’ funds reveal accumulated losses or insufficient capital injection, signaling “financial anemia,” which weakens the company’s ability to absorb shocks or invest in growth.

The minimal cash reserves relative to liabilities show a lack of “healthy cash flow,” which if continued, could lead to difficulties in meeting creditor demands or funding operations. The absence of fixed assets and employees suggests the company may be operating with a lean structure, but it also implies limited capacity to generate revenue or scale without investment.

Despite these concerns, the company remains active and compliant with filing requirements, which is a positive sign that management is maintaining regulatory discipline.

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4. Recommendations

a. Improve Liquidity and Working Capital

• Negotiate extended payment terms with creditors to reduce immediate cash outflows.
• Accelerate receivables collection or increase cash inflows through new contracts or upfront payments.
• Consider short-term financing options (e.g., overdraft, invoice financing) to bridge the liquidity gap.

b. Address Negative Equity

• Inject fresh capital from shareholders or new investors to “revitalize the balance sheet.”
• Evaluate cost structures to reduce losses and move towards profitability.
• Reassess business model to identify revenue growth opportunities.

c. Enhance Financial Monitoring

• Implement regular cash flow forecasting to detect and manage liquidity stresses early.
• Use key performance indicators to monitor financial health continuously.

d. Operational Review

• Explore partnerships or outsourcing to maintain lean operations while improving service capacity.
• Consider strategic restructuring or refinancing if current trends persist.

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Medical Analogy Summary

The company is currently exhibiting “symptoms of financial distress” such as “liquidity deficiency” (negative working capital) and “capital anemia” (negative equity). Without intervention, these symptoms could worsen, leading to “financial collapse.” However, timely “treatment” through capital injection, liquidity management, and operational adjustments could restore “financial health” and vitality.

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