TONY PERRY PROPERTY SERVICES LTD

Executive Summary

Tony Perry Property Services Ltd is a micro-sized, very young security services company showing modest financial growth and a positive working capital position. The company’s credit risk is mitigated by director funding but exposed to rising tax liabilities and limited scale. Conditional approval is recommended with close cash flow and liability monitoring.

TONY PERRY PROPERTY SERVICES LTD - Analysis Report

Company Number: 14016292

Analysis Date: 2025-07-29 15:40 UTC

1. Credit Opinion: CONDITIONAL APPROVAL
   Tony Perry Property Services Ltd is a very young private limited company (incorporated March 2022) operating in security systems service activities. The company shows modest but improving net current assets and shareholder funds over the last two years, indicating some financial growth. However, the company’s scale is very small, with minimal assets and a single employee (the director). The presence of a director’s loan account as a debtor suggests reliance on the director for funding. The current liabilities, including significant corporation tax liabilities, are rising and warrant close monitoring. Given the company’s size and limited trading history, credit facilities should be cautiously sized and possibly secured or subject to regular review.

2. Financial Strength:
   The balance sheet shows net assets of £1,672 at 31 March 2024, up from £291 in the prior year, reflecting some growth in retained earnings. Current assets of £12,622 primarily consist of cash (£4,706) and debtors (£7,916), where the debtors are entirely due from the director’s loan account, indicating director financing rather than external receivables. Current liabilities of £10,950 include corporation tax (£9,175), bank loans and overdrafts (£1,095), trade creditors (£24), and other accruals. The company has a positive working capital position (£1,672), but the current liabilities notably include a sizeable tax obligation, which may imply recent profitability but also potential cash outflows. Overall, financial strength is weak but improving, typical of a small start-up.

3. Cash Flow Assessment:
   The company’s cash balance improved from £1,274 to £4,706 over the year, signaling some improvement in liquidity. However, the heavy reliance on director loans as a debtor and the build-up of corporation tax liabilities raise concerns about cash flow sustainability. The company operates with one employee (the director) which keeps overheads minimal. The positive net current assets indicate working capital is sufficient to cover short-term liabilities, but the relatively low cash and current assets base means any adverse event could strain liquidity. Cash flow forecasting and close monitoring of tax payments and bank loans are recommended.

4. Monitoring Points:

• Corporation tax liability trends and timely settlement to avoid penalties.
• Movement in the director’s loan account balance to understand funding dependency.
• Bank loan and overdraft utilization and repayment capacity.
• Any changes in trading scale, turnover, or employee numbers as indicators of growth or contraction.
• Timely filing of accounts and confirmation statements to ensure compliance and transparency.