Company Number: 13061719

Analysis Date: 2025-07-20 13:20 UTC

1. Credit Opinion: APPROVE
   TOTHAM LANDSCAPES LTD demonstrates a solid financial position as a micro-entity with positive net assets increasing steadily over four years. The company shows no overdue filings or indicators of financial distress. Its ability to maintain positive net current assets and growing equity suggests it can service short-term liabilities and manage working capital effectively. The single director’s ongoing stewardship appears stable, and there is no evidence of adverse director conduct or operational disruption.

2. Financial Strength:
   The balance sheet reflects a healthy financial footing with net assets rising from £38,523 in 2020 to £70,483 in 2023. Fixed assets increased significantly in 2023 (£38,966 from £15,135), indicating investment in long-term resources likely supporting business growth. Current assets remain sufficient to cover current liabilities comfortably, with net current assets consistently above £30,000. Shareholders’ funds equal net assets, confirming no long-term debt or external liabilities on the balance sheet, enhancing financial resilience.

3. Cash Flow Assessment:
   Although detailed cash flow and profit & loss data are not provided, the consistent positive net current assets and absence of overdue creditors suggest adequate liquidity. The company maintains a conservative working capital position with current assets exceeding current liabilities by a comfortable margin. The small employee base (average 1 employee) limits fixed overheads, reducing liquidity strain. Cash flow risk appears low, but monitoring turnover and receivables aging would provide further confirmation.

4. Monitoring Points:

• Track growth in fixed assets relative to revenue to ensure capital expenditures align with business expansion and do not strain liquidity.
• Monitor current assets composition, particularly trade receivables, for signs of collection delays or bad debts.
• Watch for any sudden increase in current liabilities that might pressure working capital.
• Review director and company filings regularly to confirm continued compliance and absence of adverse events.
• Evaluate any changes in employee headcount or operational scale that could impact cost structure and cash flow.