REYANSH ASSET MANAGEMENT LIMITED

Executive Summary

Reyansh Asset Management Limited is a newly incorporated micro-entity operating in real estate letting with minimal equity and significant long-term liabilities, resulting in a high risk profile. While compliance with filing obligations and clear ownership structure are positive, the company's limited operating history and tight liquidity position warrant close scrutiny of its debt obligations and cash flow sustainability. Further due diligence is recommended to clarify creditor terms and operational viability.

REYANSH ASSET MANAGEMENT LIMITED - Analysis Report

Company Number: 15658679

Analysis Date: 2025-07-29 16:50 UTC

1. Risk Rating: HIGH

The company presents a high risk profile primarily due to its financial structure and nascent stage of operations.

2. Key Concerns:

• High Long-Term Liabilities Relative to Assets: The company shows £90,592 of creditors due after more than one year against total assets less current liabilities of £93,568, leaving a very small net asset base of £2,976. This indicates a highly leveraged position with minimal equity buffer.
• Limited Operating History and Scale: Incorporated in April 2024 and reporting its first set of accounts for a 1-year period, the company is very new with limited financial history to assess operational sustainability.
• Minimal Current Assets and Working Capital: Current assets stand at £5,057 with net current assets of £4,803, which is low and may pose liquidity challenges, especially if short-term obligations increase unexpectedly.

3. Positive Indicators:

• No Overdue Filings: The company has complied with filing deadlines for both accounts and confirmation statements, indicating adherence to regulatory requirements.
• Clear Ownership and Control: Single shareholder/director with 75-100% shareholding and voting rights, which suggests clear decision-making authority.
• Micro-Entity Reporting: The company benefits from simplified reporting requirements, suitable for its scale.

4. Due Diligence Notes:

• Investigate the nature and terms of the long-term creditors (£90,592) to assess repayment obligations and covenants.
• Review cash flow projections and operational plans to understand how the company intends to manage liquidity and service debt.
• Assess any related party transactions given the sole director/shareholder setup which might affect financial stability.
• Confirm the current trading status and whether the business model has generated any operating income since inception.
• Validate the fixed asset valuation and ownership to ensure they are free of encumbrances.