Browse the out-of-the-box insights that score supplier financial risk — grouped by family, with the score and the rule that triggers each one.
| Insight | Parameter | |
|---|---|---|
Borrowings more than three times owners' capitalL. Debt-to-equity — levelDebt-to-Equity Ratio: Latest value >= 3.0x For every unit of equity the owners have put in, the supplier has borrowed more than three. At this level of gearing a single adverse event can leave lenders, not owners, deciding the outcome. | Capital structureFinancial health parameter |
Borrowings one-and-a-half to three times owners' capitalL. Debt-to-equity — levelDebt-to-Equity Ratio: Latest value >= 1.5x AND Latest value <= 3.0x The business is funded substantially more by debt than by equity. Serviceable in normal trading, but it leaves limited headroom if earnings fall or rates rise. | Capital structureFinancial health parameter |
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Debt and equity funding broadly balancedL. Debt-to-equity — levelDebt-to-Equity Ratio: Latest value >= 0.5x AND Latest value <= 1.5x Borrowings are between half and one-and-a-half times owners' capital — a moderate structure. Contextualise against industry norms. | Capital structureFinancial health parameter |
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Primarily equity-fundedL. Debt-to-equity — levelDebt-to-Equity Ratio: Latest value >= 0.1x AND Latest value <= 0.5x Borrowings are under half of owners' capital — the business is funded mainly by its owners, so debt service is a small claim on earnings. | Capital structureFinancial health parameter |
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Effectively debt-freeL. Debt-to-equity — levelDebt-to-Equity Ratio: Latest value >= 0x AND Latest value <= 0.1x The supplier carries almost no interest-bearing debt relative to owners' capital. There is no meaningful debt-service obligation and no lender able to force events. | Capital structureFinancial health parameter |
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