Company Number: SC707529

Analysis Date: 2025-07-29 17:27 UTC

1. Risk Rating: LOW
   Taylor & Thomson Ltd demonstrates a low solvency and liquidity risk profile based on the latest financial data. The company has a positive net current asset position and net assets as at the most recent year-end, and there are no overdue filings or indications of regulatory non-compliance. The small scale of operations (one employee) and stable ownership structure support operational stability for now.

2. Key Concerns:

• Modest cash reserves (£1,308) relative to current liabilities (£902), which could constrain short-term liquidity despite positive net current assets.
• Reliance on director loans (£30) as part of current liabilities, which may indicate some dependence on related-party funding.
• Limited scale and single employee operation may challenge scalability and resilience if business conditions deteriorate.

3. Positive Indicators:

• Consistent improvement in net current assets from a negative position (£-114) in 2023 to positive (£406) in 2024.
• Shareholders' funds increased from £204k to £660k, indicating retained earnings growth and improving equity buffer.
• Up to date statutory filings (accounts and confirmation statement) with no overdue submissions.
• No signs of audit exemptions or regulatory non-compliance issues; accounts prepared under applicable small company regime.

4. Due Diligence Notes:

• Review the nature and terms of director loans to assess potential liabilities or funding risks.
• Investigate the business model and revenue streams behind the SIC code "Other service activities not elsewhere classified" to understand revenue stability and growth prospects.
• Confirm the absence of contingent liabilities or off-balance-sheet obligations that may impact solvency.
• Evaluate cash flow forecasts given limited cash balances and current asset composition.
• Consider background checks on directors for any adverse records not captured here.