Investment Risk Analysis: YEWSIDE PROPERTIES LIMITED

1. Risk Rating: MEDIUM

Justification: While the company's current financial position shows positive net assets and minimal liabilities, the dramatic contraction in the balance sheet—approximately 95% decline in total assets between 2022 and 2024—raises material concerns about the nature of this business and its ongoing viability. The historical insolvency position in 2017 and the absence of any stated principal activity further elevate risk beyond a straightforward LOW rating.

2. Key Concerns

a) Dramatic Balance Sheet Contraction Total assets fell from £196,703 (2022) to £9,519 (2024), recovering only modestly to £10,413 in 2025. Liabilities correspondingly reduced from £158,844 to just £513. For a company with SIC codes covering property development and real estate, this scale of asset disposal over a short period is significant and warrants explanation. The current balance sheet carries no fixed assets whatsoever, which is inconsistent with the company's stated business activities.

b) Historical Technical Insolvency In 2017, total liabilities (£238,330) substantially exceeded total assets (£147,629), representing a deficit of approximately £90,701. While the company recovered from this position, it demonstrates a precedent of financial distress. Creditors and counterparties should note this historical pattern.

c) Single-Person Control with Minimal Transparency Mr. Alan Robert Featherstone holds over 75% of shares and voting rights and is the sole director. The company files as a micro-entity, which permits severely abbreviated accounts with no profit & loss statement, no cash flow statement, and limited balance sheet disclosure. This concentration of control combined with minimal reporting obligations creates an environment where financial manipulation could occur undetected.

3. Positive Indicators

• Current Solvency Position: Net assets of £9,900 with only £513 in current liabilities provides a comfortable current ratio of approximately 20:1.
• Filing Compliance: Accounts are filed up to date (year ending 30 September 2025, filed December 2025) with no overdue filings. Confirmation statements are also current.
• Longevity: The company has been incorporated since 2003, demonstrating over 20 years of continuous operation without entering formal insolvency or dissolution proceedings.
• Improving Trend 2024-2025: Net assets increased from £7,710 to £9,900 (28.3% growth), and current assets grew from £9,519 to £10,413, suggesting some modest operational activity rather than complete dormancy.

4. Due Diligence Notes