WELBURN ESTATES LTD

Executive Summary

WELBURN ESTATES LTD is a micro-entity operating in real estate management with a small but improving net asset base and no filing delinquencies. However, limited financial disclosure and recent governance changes introduce moderate risk for investors. Further detailed financial and operational due diligence is advised to fully assess business viability and cash flow adequacy.

WELBURN ESTATES LTD - Analysis Report

Company Number: 13328699

Analysis Date: 2025-07-20 14:08 UTC

1. Risk Rating: MEDIUM
   The company shows modest net assets and improved working capital in the latest accounts, which is positive. However, the micro-entity scale, low capital base, and relatively short operating history since 2021 limit financial robustness. The absence of a profit and loss account restricts insight into operational profitability and cash flow stability.

2. Key Concerns:

• Limited Financial Transparency: The micro-entity exemption and omission of profit and loss data constrain assessment of revenue generation, profitability, and cash flow sufficiency.
• Modest Capitalization and Working Capital: Share capital of only £1,000 and net current assets of £3,668 (2024) indicate limited buffer against financial shocks or unexpected liabilities.
• Frequent Director Changes and Ownership Transitions: Several director appointments and resignations within a short timeframe, combined with the company’s name change and multiple controlling entities, may suggest strategic or operational instability.

3. Positive Indicators:

• Compliance with Filings: No overdue accounts or confirmation statements; demonstrates adherence to statutory filing deadlines and regulatory compliance.
• Improved Balance Sheet Position: Net current assets increased from £1,000 (2023) to £3,668 (2024), indicating some strengthening of liquidity position.
• Controlled Ownership: Clear identification of a single major controlling entity (Welburn Homes Limited) owning 75-100% of shares provides transparency in governance and potential access to parent company support.

4. Due Diligence Notes:

• Obtain and review full profit and loss accounts or management accounts to assess revenue, expenses, and cash flow trends.
• Investigate reasons behind director turnover and name changes to understand any underlying governance or strategic issues.
• Clarify the nature and extent of intercompany relationships with controlling entities, including financial support arrangements.
• Assess operational model and client contracts in the real estate management sector to gauge revenue stability and business sustainability.
• Confirm absence of any regulatory actions, penalties, or director disqualifications not evident from basic filings.