CHARLES TAYLOR ADJUSTING LIMITED
Company number 01994696 · Monitor this company
This analysis was written by an AI from the company's public filings. It may contain errors or omissions and is not financial or professional advice.
Credit Assessment: Charles Taylor Adjusting Limited (01994696)
1. Credit Opinion: CONDITIONAL APPROVE
The credit profile is anchored by the borrower's status as a UK operating subsidiary within the Charles Taylor Group, a well-established name in global insurance services (loss adjusting, claims management, and related technical services). The company benefits from group backing, an experienced management team, and a City of London base in the heart of the insurance district. However, the credit case is materially supported by the parent group's covenant strength rather than standalone metrics, given that this entity is wholly controlled by The Richards Hogg Lindley Group Limited (>75% shareholding and director appointment rights). A facility should be considered conditional on receipt of parent comfort/guarantee and confirmation of intra-group cash management arrangements.
2. Financial Strength Analysis
Balance Sheet Health (qualitative assessment):
| Indicator | Observation |
|---|---|
| Filing status | Full accounts filed to 31 December 2024 — confirms a business of meaningful size (likely Medium-sized given Full category and £350,000 share capital) |
| Share capital | £350,000 — moderate but consistent with a UK service subsidiary |
| Incorporation history | Trading since 1986 (39 years) with multiple name changes reflecting strategic evolution from energy adjusting to broader insurance services |
| Equity cushion | Net asset position is not visible in the supplied data — must be confirmed from filed accounts |
| Group structure | Owned by The Richards Hogg Lindley Group Limited, itself part of the wider Charles Taylor Group (PE-backed by Lovell Minnick Partners since 2018) |
Key observations: - The company files Full accounts, indicating it exceeds at least two of the small/medium-sized thresholds — likely turnover well above £10.2M. - A corporate secretary (Charles Taylor Administration Services Limited) signals centralised group governance and professional administration, which is generally a positive stewardship indicator. - Three serving British directors with no flagged resignations or disqualifications on the data provided.
Limitations: Specific balance sheet ratios (gearing, tangible net worth, current ratio) cannot be quantified without the underlying financial figures from filed accounts. This must be obtained before final sanctioning.
3. Cash Flow Assessment
Liquidity & Working Capital:
- The business is in business support services (SIC 82990) — specifically insurance claims adjusting. This is a fee-based, professional services model with generally favourable working capital characteristics: predictable debtor cycles from insurance clients, low inventory risk, and limited capex intensity.
- Cash flow is likely to be stable and predictable, reflecting the counter-cyclical resilience of the adjusting market (claims volumes often rise in soft markets and during economic uncertainty).
- The Mincing Lane/EC3 location places the entity within the London insurance market — proximity to Lloyd's of London and major cedants supports business generation.
Working capital considerations to verify: - Concentration risk on debtor book (likely dominated by Lloyd's syndicates, London market insurers, and international carriers) - Intra-group funding flows — confirm whether cash is swept centrally to the parent and whether stand-alone liquidity is sufficient for debt obligations - FX exposure given the global nature of Charles Taylor's client base
4. Monitoring Points
The following metrics and triggers should be established as ongoing monitoring requirements:
- Parent covenant strength — monitor Charles Taylor Group consolidated leverage and any change in ultimate ownership (PE exit scenarios)
- Intra-group cash movements — quarterly confirmation of stand-alone cash position and any upstream loans/dividends
- Director changes — currently three serving British directors; flag any resignations or appointments of non-UK or non-group individuals
- Confirmation Statement and Accounts — both currently compliant (next due December 2026 for accounts, June 2027 for confirmation statement); ensure timely filing going forward
- SIC code consistency — verify the 82990 classification aligns with actual trading activity (insurance adjusting)
- PSC changes — monitor for any alteration in the shareholding of The Richards Hogg Lindley Group Limited
- Adverse information — set triggers for any CCJs, winding-up petitions, or changes to registered office
- Audit opinion — review the next auditor's report for any qualifications or going concern references
Conditions precedent to drawdown: - Receipt and analysis of the last two years of filed statutory accounts - Parent company guarantee or letter of comfort from The Richards Hogg Lindley Group Limited (or ultimate parent) - Confirmation of banking arrangements and any existing security across the group