YEW TREE FARM HOLDINGS LIMITED

Executive Summary

Yew Tree Farm Holdings Limited demonstrates a modest recovery in net asset position but continues to face liquidity constraints evidenced by negative working capital. Its financial stability depends on continued director support and effective management of current liabilities and stock. No compliance issues are noted, but further review of liabilities and stock valuation is recommended for a comprehensive risk assessment.

YEW TREE FARM HOLDINGS LIMITED - Analysis Report

Company Number: 13128066

Analysis Date: 2025-07-20 15:20 UTC

1. Risk Rating: MEDIUM
   The company shows small positive net assets as of the latest accounts but has persistent net current liabilities, indicating liquidity pressure. The working capital deficit and reliance on director-provided funds suggest moderate solvency risk. However, there is no evidence of overdue filings or insolvency proceedings, which supports a medium risk profile.

2. Key Concerns:

• Negative net current assets for multiple years (e.g., -£2,785 at 2024 year-end) indicate ongoing liquidity challenges.
• Significant current liabilities (£347,607 at 2024 year-end) closely matching current assets (£344,822) may constrain operational flexibility.
• Reliance on directors’ funds for working capital, as stated in accounting policies, may limit independence and increase risk if such support is withdrawn.

3. Positive Indicators:

• The company has improved from a net liabilities position in prior years to a small positive net asset position (£285 at 2024 year-end).
• No overdue statutory filings or accounts, indicating compliance with Companies House requirements and good governance on reporting.
• The company is small, with only 2 employees and minimal fixed assets, which may allow for operational agility and cost control.

4. Due Diligence Notes:

• Investigate the nature of the significant current liabilities and the terms for repayment or settlement.
• Review the directors’ funding arrangement in detail to assess sustainability and any contingent liabilities.
• Examine the work in progress stock valuation policy and realizability, given stock accounts for a large proportion of current assets (£312,375).
• Assess subsidiary performance (YTF Developments Limited) as it may impact group risk exposure.
• Confirm absence of director disqualifications or legal proceedings affecting governance.