STANSBURYS DEVELOPMENTS LTD

Executive Summary

STANSBURYS DEVELOPMENTS LTD is a recently incorporated micro-entity operating in real estate with a modest equity base and significant long-term liabilities. While compliant with filing requirements, the company currently shows signs of limited operational activity and potential liquidity risks. Further investigation into its debt structure and business plans is recommended to assess financial sustainability.

STANSBURYS DEVELOPMENTS LTD - Analysis Report

Company Number: 14519265

Analysis Date: 2025-07-20 17:07 UTC

1. Risk Rating: MEDIUM
   The company shows a positive net asset position but is heavily leveraged with significant long-term liabilities relative to its fixed assets. Absence of current assets and employees suggests limited operational activity or early-stage development, which raises concerns about liquidity and operational sustainability.

2. Key Concerns:

• High Long-Term Liabilities: £271,647 creditors due after more than one year against fixed assets of £282,720 implies substantial debt financing that could pressure solvency if cash flows do not materialize.
• No Current Assets or Working Capital: Zero current assets and net current assets indicate potential liquidity constraints to cover short-term obligations or operational expenses.
• Lack of Operational Activity: No employees and no reported turnover (consistent with micro-entity filing) suggest the business may not yet be generating revenue or operating at scale.

3. Positive Indicators:

• Net Positive Equity: Shareholders’ funds of £11,073 indicate the company is not insolvent at the balance sheet date.
• Timely Compliance: Accounts and confirmation statements are filed on time with no overdue filings, indicating good regulatory compliance.
• Established Ownership and Control: Clear shareholding and control structure with two directors who are also the primary shareholders, enabling straightforward governance.

4. Due Diligence Notes:

• Investigate nature and terms of the long-term liabilities to assess repayment obligations and interest costs.
• Confirm business model viability and plans for generating operational cash flow, given zero current assets and employees.
• Review subsequent financial performance or forecasts since incorporation in late 2022 to gauge progress beyond the micro-entity stage.
• Verify absence of contingent liabilities or off-balance sheet commitments.
• Consider directors’ backgrounds and experience in real estate development given the SIC code and business description.