OPIA PROPERTY LTD

Executive Summary

Opia Property Ltd displays significant solvency risks with net liabilities and negative shareholder funds as of the latest accounts, despite maintaining short-term liquidity coverage. The company remains compliant with filing requirements and has stable ownership; however, the deterioration in financial position warrants detailed due diligence on creditor obligations and operational cash flows to assess sustainability. Investors should proceed cautiously given these financial vulnerabilities.

OPIA PROPERTY LTD - Analysis Report

Company Number: 13107459

Analysis Date: 2025-07-20 13:51 UTC

1. Risk Rating: HIGH
   The company exhibits significant net liabilities and negative shareholder funds as of the latest financial year end, indicating solvency concerns. The balance sheet reveals net liabilities of £5,862 against minimal share capital, which raises questions about its capacity to meet obligations.

2. Key Concerns:

• Negative Net Assets and Shareholders’ Funds: The company moved from positive net assets in 2022 (£7,179) to net liabilities in 2023 (£-5,862), suggesting recent financial deterioration.
• High Long-Term Creditors: Creditors due after more than one year remain substantial (£8,421), which may pressure cash flow and refinancing capacity.
• Limited Equity Base: Share capital is only £1, indicating minimal equity buffer to absorb losses or finance operations.

3. Positive Indicators:

• Current Liabilities Covered by Debtors: Current liabilities (£10,594) are covered by debtors (£13,153) with positive net current assets (£2,559), which supports short-term liquidity.
• No Overdue Filings: Both accounts and confirmation statements are filed on time, demonstrating regulatory compliance and governance discipline.
• Stable Directorship and Control: The sole director and 100% shareholder is consistent, reducing governance risk from management turnover.

4. Due Diligence Notes:

• Investigate the reasons behind the sharp decline in net assets from 2022 to 2023 to assess operational or one-off issues affecting solvency.
• Review the nature and terms of long-term creditors to understand repayment schedules and any refinancing risks.
• Analyze cash flow statements and profit and loss account (not filed publicly) to evaluate operational sustainability and revenue generation.
• Confirm whether any contingent liabilities or off-balance sheet risks exist that could exacerbate financial stress.
• Understand the business model in residents property management and real estate letting to assess market exposure and earnings stability.