UNIQUE HOMES PROPERTY LTD

Executive Summary

Unique Homes Property Ltd is financially distressed with negative net assets and significant liquidity shortfall. The company lacks sufficient cash or income to meet liabilities, posing high credit risk. Credit facilities should be declined unless substantial financial restructuring or capital infusion occurs.

UNIQUE HOMES PROPERTY LTD - Analysis Report

Company Number: 14329115

Analysis Date: 2025-07-29 20:10 UTC

1. Credit Opinion: DECLINE
   Unique Homes Property Ltd exhibits significant financial weaknesses with net liabilities of £9,186 as of 31 August 2024, reflecting a negative equity position that has only marginally improved from the prior year. The company’s current liabilities of £341,037 substantially exceed its current assets of £5,401, indicating acute liquidity constraints and an inability to meet short-term obligations without external support. The absence of turnover or profit data in the accounts suggests limited or no operational cash inflow, raising concerns about the company’s capacity to service debt or sustain ongoing operations. Given these factors, the company does not demonstrate sufficient financial resilience or creditworthiness to support additional lending at this time.

2. Financial Strength:
   The balance sheet is heavily leveraged with fixed assets (land/property) of £326,450 financed largely by creditors (£341,037) resulting in negative net assets. The lack of equity capital (only £10 share capital) and persistent losses (accumulated deficit in profit and loss account) undermine the company’s financial foundation. The stagnation in asset values and liabilities between 2023 and 2024 indicates no material improvement or deleveraging. Overall, the company’s financial strength is weak with negative shareholders’ funds and a highly leveraged position.

3. Cash Flow Assessment:
   Current assets are minimal and consist solely of cash (£5,401), which is negligible relative to current liabilities (£341,037). This extreme working capital deficiency points to serious liquidity risk. There is no evidence of trade debtors or inventory to provide additional short-term resource. Without regular revenue or cash inflows, the company’s ability to meet immediate liabilities or debt service commitments is doubtful. The cash position is insufficient to cover even a fraction of current liabilities, exposing the company to default risk.

4. Monitoring Points:

• Monitor any improvements in turnover or cash inflows to assess operational recovery.
• Track reductions in creditor balances or restructuring of liabilities.
• Watch for capital injections or shareholder equity increases to restore financial stability.
• Review future filings for evidence of profitability or improved working capital management.
• Verify director actions regarding financial strategy and risk mitigation given current negative net assets.