An abbreviated and unaudited financial statement filed at Companies House shows the Paisley company saw its net liabilities position in 2012 widen from £400,822 to £508,519.
Creditor amounts due within a year went from £581,663 to £916,183.
Debtor levels were marginally higher at £511,239 against £510,734 while cash decreased from £17,532 to £11,425.
However its Irish owner Punch Holdings has agreed to continue its long-standing financial support to William Paton.
A note in the financial statement said: "The financial statement has been prepared on a going concern basis as the parent company has agreed to provide adequate funds for the company to meet its liabilities as they fall due."
The company can trace its roots to 1840 when William Paton built a small factory at Broombrae in Johnstone to manufacture webbing, ropes and twine for the boat-building industry.
Later it diversified into laces, when cotton took over from leather as the preferred material for keeping footwear on.
At its height, the company produced millions of pairs of laces and insoles each year.
The firm has been owned by Cork-based Punch Holdings since 1990.