THE LIBRARY (DARWIN GREEN) MANAGEMENT COMPANY LIMITED

Executive Summary

THE LIBRARY (DARWIN GREEN) MANAGEMENT COMPANY LIMITED presents a low solvency and liquidity risk profile due to its structure as a private company limited by guarantee with no recorded financial liabilities or assets. The company’s operational model, managing service charge funds on trust outside its statutory accounts, limits financial visibility but also reduces exposure to traditional business risks. Compliance with filing requirements and the presence of qualified financial oversight are positive governance indicators, though further due diligence on trust accounts and recent director changes is advisable.

THE LIBRARY (DARWIN GREEN) MANAGEMENT COMPANY LIMITED - Analysis Report

Company Number: 14191547

Analysis Date: 2025-07-29 16:19 UTC

1. Risk Rating: LOW

Justification: The company operates as a private company limited by guarantee with no share capital and no reported financial assets or liabilities. It functions as a management company for residents’ property, holding service charge monies on trust. There are no indications of debt or financial distress, and filings are up to date.

2. Key Concerns:

• Zero reported net assets and net current assets over three years could indicate the company has no independent financial resources and relies entirely on service charge funds held in trust, which are not part of its accounts.
• The absence of income and expenditure within the company accounts suggests that all financial activity is managed outside the company’s statutory accounts, which limits visibility into operational cash flows and financial stability.
• Recent changes in directors (with three resigning and three new appointments in February 2025) warrant review for any impact on governance or continuity.

3. Positive Indicators:

• The company is compliant with filing deadlines for accounts and confirmation statements, indicating good regulatory adherence.
• Appointment of a director who is a Chartered Accountant suggests financial oversight is likely to be adequate.
• The limited scope of activities (residents property management) and the structure of holding service charge monies on trust reduces exposure to commercial operating risks.

4. Due Diligence Notes:

• Investigate the separate service charge accounts held on trust to assess adequacy of funds and controls over these monies, as these are critical to the company’s operational purpose.
• Review the rationale and impact of director changes in early 2025 to ensure governance stability.
• Confirm there are no contingent liabilities or off-balance-sheet obligations not disclosed in the micro-entity accounts.
• Clarify the relationship between the company and the leaseholders or residents to understand contractual obligations and potential financial exposures.