SE PROPERTIES AND MANAGEMENT GROUP LIMITED

Executive Summary

SE Properties and Management Group Limited is a newly incorporated micro company with a weak balance sheet showing net liabilities and negative working capital. Its liquidity position is tight due to minimal cash and high director loans, limiting capacity to service third-party debt. Given the early stage and financial position, credit facilities should be declined until there is evidence of improved financial stability and cash flow generation.

SE PROPERTIES AND MANAGEMENT GROUP LIMITED - Analysis Report

Company Number: 14785325

Analysis Date: 2025-07-20 12:49 UTC

1. Credit Opinion: DECLINE
   SE Properties and Management Group Limited presents a high credit risk for lending or extending credit facilities at this early stage of its trading history. The company has been incorporated recently (April 2023) and its first accounts show net liabilities of £22,106 with negative working capital of £22,428. The current liabilities, primarily loans from directors (£23,118), exceed current assets by a significant margin. There is minimal cash on hand (£1,530), indicating limited liquidity to meet short-term obligations. The company is loss-making or has no accumulated profits to support operations. Without a track record of positive cash flow or equity build-up, the ability to service external debt is unproven. Directors’ loans suggest dependence on shareholder funding rather than external creditworthiness.

2. Financial Strength:
   The balance sheet is weak with net liabilities indicating the company is technically insolvent on a balance sheet basis. Fixed assets are negligible (£322 in computer equipment) and do not provide collateral value. Shareholders’ funds are negative (£-22,108), reflecting accumulated losses or initial shareholder loans treated as equity. The company’s small size (2 employees, micro entity filing exemption) and early stage means financial resilience is limited, with no buffer for economic shocks or business downturns.

3. Cash Flow Assessment:
   Operating cash flow is not disclosed but inferred to be negative or minimal given the negative net current assets and reliance on directors’ loans. Cash at bank is very low (£1,530) relative to current liabilities, indicating tight liquidity. Working capital management is a concern as current liabilities exceed current assets by a large margin, creating a risk of payment delays or defaults on creditors if no additional funding is forthcoming.

4. Monitoring Points:

• Improvement in working capital position and positive net current assets
• Generation of positive operating cash flow and reduction in reliance on directors’ loans
• Timely filing of next accounts and confirmation statements to confirm ongoing compliance
• Any changes in ownership or director shareholding that may impact control or funding
• Development of tangible assets and revenue streams to establish financial sustainability