RJZ PROPERTY INVESTMENTS LIMITED

Executive Summary

RJZ PROPERTY INVESTMENTS LIMITED has demonstrated improvement in net asset position but remains a micro entity with limited liquidity and high long-term liabilities. Conditional credit approval is possible with close monitoring of cash flow and debt servicing capacity due to the company’s modest current assets and reliance on fixed assets. Ongoing oversight of financial health and director involvement is essential to mitigate credit risk.

RJZ PROPERTY INVESTMENTS LIMITED - Analysis Report

Company Number: 13022144

Analysis Date: 2025-07-20 14:28 UTC

1. Credit Opinion: CONDITIONAL APPROVAL. RJZ PROPERTY INVESTMENTS LIMITED shows improvement in net asset position from negative (£6,787) in 2022 to positive £6,962 in 2023, indicating a recovery trend. However, the company carries significant long-term liabilities (£63,613) compared to minimal current assets (£575), reflecting liquidity constraints. The company operates with no employees and minimal cash balances, relying likely on director support or external funding. Given the micro entity size and property investment industry, credit approval could be considered with conditions on monitoring cash flow and debt servicing capacity, especially since fixed assets rose to £70,000 but current liabilities remain substantial.

2. Financial Strength: The balance sheet shows fixed assets of £70,000 (likely property-related), but current assets are minimal (£575), and current liabilities are not separately stated but total creditors falling due after more than one year are £63,613, which suggests significant borrowing or creditor balances. Net assets have improved from negative to positive, reflecting some equity infusion or retained earnings. Share capital is nominal (£9). The company’s micro status and lack of employees suggest a small-scale operation with limited financial buffer. Long-term liabilities are high relative to equity, indicating moderate financial risk.

3. Cash Flow Assessment: Current assets of £575 against significant long-term liabilities indicate tight liquidity. The absence of current liabilities reported here may reflect classification under non-current creditors, but working capital remains minimal. No profit and loss accounts were filed publicly to assess profitability or cash generation. The company’s ability to meet short-term obligations may be strained, requiring close monitoring of cash inflows, rental income, or refinancing options. The director’s role is critical in managing liquidity given no employees and small operational scale.

4. Monitoring Points:

• Track changes in net current assets and liquidity ratios to ensure timely payment of liabilities.
• Monitor any increases in creditor balances or debt levels relative to asset growth.
• Review director’s financial support or external funding arrangements.
• Assess rental income streams and their stability given the property investment focus.
• Ensure timely filing of future accounts and returns to maintain transparency.
• Watch for any changes in the company’s operational scale or asset base that could affect credit risk.