ANSWER THE PUBLIC LTD

Executive Summary

Answer The Public Ltd is a small but financially stable niche player in the UK business software development sector, leveraging its proprietary search listening technology to meet growing market demand for consumer insights. Its strong working capital position and backing by a parent group position it well amid rapid industry innovation and digital marketing trends, though scaling and competitive pressures remain key challenges. Overall, the company demonstrates solid relative performance for its size, with strategic opportunities tied to evolving sector dynamics.

ANSWER THE PUBLIC LTD - Analysis Report

Company Number: 12498281

Analysis Date: 2025-07-29 14:46 UTC

1. Industry Classification
   Answer The Public Ltd operates in the UK software development sector, specifically under SIC code 62012 — Business and domestic software development. This sector is characterized by rapid innovation cycles, high reliance on intellectual property and proprietary technology, and an intense focus on R&D and customer-driven product evolution. The business offers a "search listening" tool which aligns with digital marketing and data analytics applications, tapping into the growing demand for data-driven consumer insights.

2. Relative Performance
   As a small private limited company, Answer The Public Ltd’s financials reflect a relatively strong liquidity position with net current assets of approximately £1.19 million at the end of 2023, up from £0.82 million in 2022, indicating improved working capital management. The company holds substantial debtors (£2.75M) and cash (£0.18M), though its current liabilities also rose significantly to £1.74M, likely reflecting growing operational scale and client prepayments. Compared to typical small software firms in the UK, which often operate with tighter margins and constrained cash flows, this level of net current assets and receivables suggests a solid market demand and effective collection processes. However, the absence of reported turnover and profit figures limits deeper profitability benchmarking. The company’s share capital is minimal (£1), typical for small private firms, with capital and reserves growing to £1.19M, showing retained earnings or capital injections that underpin financial stability.

3. Sector Trends Impact
   The software development industry is undergoing accelerated transformation driven by cloud adoption, AI integration, and the increasing need for real-time consumer insights. Answer The Public Ltd’s focus on search listening tools positions it well within the digital marketing and customer insight trend, capitalizing on businesses’ rising investment in understanding online consumer behavior and content optimization. The sector’s competitive nature and rapid technology evolution require continuous innovation and agile development practices. Additionally, data privacy regulations (e.g., GDPR) impose compliance costs and operational constraints on software handling consumer data, which companies in this space must navigate carefully.

4. Competitive Positioning
   Answer The Public Ltd appears to be a niche player specializing in consumer search insights, differentiating itself through a proprietary platform that aggregates and visualizes search queries. This specialization allows it to compete effectively against broader digital marketing analytics providers and general software developers. The company benefits from backing by a parent group (Answer The Public Holdings Ltd and Neil Patel Digital Limited), which may provide strategic support and capital access, enhancing competitive resilience. With only three employees reported, it operates a lean structure, relying heavily on intellectual property and technology. This is common in small software firms but presents scaling challenges against larger competitors with extensive resources. Its financials suggest robust demand but also highlight concentration risk in debtors and the need to carefully manage credit exposure. The recent director changes, including appointments of American nationals in leadership, may indicate a strategic shift toward internationalization or market expansion.