T LAND LIMITED
Company number 06325433 · Monitor this company
This analysis was written by an AI from the company's public filings. It may contain errors or omissions and is not financial or professional advice.
Credit Analysis: T LAND LIMITED (06325433)
1. Credit Opinion: DECLINE
This company presents unacceptable credit risk for any meaningful facility. The balance sheet has been effectively hollowed out, with net assets collapsing from £338,346 (2022) to just £4,069 (2024) — a 98.8% erosion. The company now functions as a shell with no visible revenue-generating assets, minimal share capital of £1, and complete dependency on parent company Heart Church for going concern support. Any credit exposure would be reliant on an uncontractual parental guarantee rather than standalone repayment capacity.
2. Financial Strength: Critically Weak
Balance Sheet Deterioration:
| Metric | 2024 | 2023 | 2022 |
|---|---|---|---|
| Net Assets | £4,069 | £8,247 | £338,346 |
| Cash | £18,140 | £9,332 | £25,218 |
| Current Liabilities | £14,071 | £5,824 | £698,262* |
| Share Capital | £1 | £1 | £1 |
| P&L Reserve | £4,068 | £8,246 | N/A |
*2022 liabilities likely included intercompany borrowings from parent
Key Observations: - The investment land (the company's primary asset) has been transferred out between 2022 and 2023, leaving only cash and a negligible balance - Shareholders' funds have declined from £703,865 (2022) to £4,069 (2024) - Share capital of £1 demonstrates minimal shareholder commitment — a significant red flag - The company is filing abridged accounts, obscuring the profit and loss account and full detail of creditor composition
Capital Structure: Essentially non-existent. The company has £1 in share capital and £4,068 in accumulated profits. There is no buffer against losses.
3. Cash Flow Assessment: Inadequate
Liquidity Position: - Current ratio (2024): 1.29x (£18,140 / £14,071) — marginal and deteriorating from 2.42x in 2023 - No trade debtors — the company has no visible revenue stream generating receivables - Cash represents the entirety of current assets
Working Capital Concerns: - Current liabilities nearly doubled from £5,824 to £14,071 year-on-year - With no operating assets and no debtors, there is no working capital cycle generating organic cash flow - The company is entirely dependent on parent company support to meet liabilities as they fall due
Revenue Generation: The P&L account is not delivered to the registrar (permitted under Section 444(5A) Companies Act 2006), which obscures trading performance. However, the absence of debtors strongly suggests minimal or no trading activity.
4. Monitoring Points
If any exposure exists or is being considered despite the DECLINE recommendation:
- Parent Company Financial Health — Heart Church's financial position is the sole determinant of this entity's survival. Obtain and review Heart Church's consolidated accounts
- Creditor Composition — Determine what the £14,071 in current liabilities represents (intercompany vs. third-party)
- Asset Transfer Scrutiny — The transfer of investment property out of the company requires examination. Was this at market value? Has value been extracted from creditors' reach?
- P&L Reserve Trajectory — Monitor the continued erosion of retained profits (£8,246 → £4,068), indicating ongoing losses
- Filing Compliance — Accounts are currently up to date, but any delay would signal further deterioration
- Intercompany Arrangements — The going concern note references "confirmed continued support" — establish whether this is a formal commitment or merely a letter of comfort
Additional Risk Factors: - The company has six officers including a Reverend Canon, consistent with church governance structures, which may mean decisions prioritize ecclesiastical objectives over creditor interests - As a land investment vehicle with the land now removed, the company's stated principal activity no longer aligns with its actual position - The audit opinion is unqualified but the going concern basis is explicitly conditional on parent support