TAURUS CATERING EQUIPMENT LTD

Executive Summary

Taurus Catering Equipment Ltd shows strong financial growth and liquidity with a healthy balance sheet and increasing net assets. The company appears well-managed with no adverse credit signals, supporting credit approval. Key focus areas include debtor management and tax liabilities to maintain ongoing creditworthiness.

TAURUS CATERING EQUIPMENT LTD - Analysis Report

Company Number: 13667454

Analysis Date: 2025-07-19 12:25 UTC

Credit Opinion:
APPROVE. Taurus Catering Equipment Ltd demonstrates a sound financial position with steady growth in net assets and working capital over the recent years. The company shows a strong equity base relative to liabilities, good liquidity, and no indications of financial distress. The director has full control, and the company is active and compliant with filings, indicating good governance and management oversight.

Financial Strength:
The company’s net assets have increased substantially from £14,929 in 2021 to £65,591 in 2024, reflecting consistent profitability or capital injection. Total assets less current liabilities have similarly more than doubled from £14,991 to £71,309 in the same period. The balance sheet shows a low level of current liabilities (£18,430) against current assets (£68,163), resulting in a strong positive working capital position. Tangible fixed assets have increased to £21,576, supporting operational capacity.

Cash Flow Assessment:
Cash at bank improved markedly to £33,115 (2024) from £7,268 (2023), indicating improved liquidity and cash generation. Debtors increased to £35,048, which may require monitoring for collection efficiency but is balanced by low trade creditors (£1,225) and manageable taxation and social security liabilities. Net current assets of £49,733 provide a comfortable buffer to cover short-term obligations, indicating good short-term financial health.

Monitoring Points:

• Debtor days and collection efficiency, given the significant increase in debtors year on year.
• Taxation and social security liabilities, which have nearly doubled, to ensure timely payments and avoid penalties.
• Continued monitoring of capital expenditure and asset utilization, as fixed assets have grown.
• Performance trends in profitability (not disclosed here) to confirm sustainability of net asset growth.
• Director’s involvement and control concentration, ensuring governance risks are mitigated.