KEVS IT LTD

Executive Summary

KEVS IT LTD is a founder-led micro IT consultancy carving a niche in the SME IT support and cybersecurity market in Bristol. While it demonstrates early signs of revenue growth and client engagement, the company faces challenges around negative equity and working capital constraints that require strategic focus on operational efficiency and financial stability. Growth can be accelerated through service diversification, geographic expansion, and scaling delivery capabilities to mitigate founder dependency and enhance competitive positioning.

KEVS IT LTD - Analysis Report

Company Number: 14121404

Analysis Date: 2025-07-29 14:15 UTC

1. Market Position
   KEVS IT LTD operates as a micro-sized IT consultancy focused on providing IT support and cybersecurity services to small businesses with 1 to 25 users in the Bristol area. As a niche player in a localized and highly competitive segment of the IT consultancy market, it positions itself as a reliable, trustworthy provider catering to SMEs that may lack in-house IT expertise.

2. Strategic Assets

• Founder-led control: With Kevin James Rice holding 100% ownership and directorship, decision-making is agile and closely aligned with the founder’s vision.
• Focused market niche: Targeting small businesses with up to 25 users allows for specialization in tailored IT support solutions and cybersecurity, which can foster customer loyalty in an underserved segment.
• Low fixed asset base & operating flexibility: Minimal fixed assets (£781) and a micro classification reduce overhead and allow the company to remain lean, reducing financial risk.
• Growing current assets and prepayments: A notable increase in current assets and accrued income/prepayments from £2,151 (2023) to £9,102 (2024) suggests improved cash flow or client advances, indicating potential revenue growth or stronger client engagement.

3. Growth Opportunities

• Service diversification: Expanding beyond basic IT support to include managed services, cloud migration, or advanced cybersecurity offerings could increase revenue per client and deepen market penetration.
• Geographic expansion: Extending services beyond Bristol into other parts of Somerset or neighboring counties could tap into a larger SME base.
• Partnerships and referrals: Building alliances with complementary service providers (e.g., accounting firms, software vendors) could generate referral business and brand credibility.
• Digital marketing and online presence: Leveraging the company website and digital channels to capture inbound leads and educate small business owners on IT risks can accelerate client acquisition.
• Scaling workforce: Introducing technical staff to support founder capacity can increase service delivery bandwidth and enable simultaneous client engagements.

4. Strategic Risks

• Negative shareholders’ funds: The company shows a negative equity position (-£4,086 in 2024, improved from -£6,002 in 2023), signaling cumulative losses that may limit borrowing capacity and investor confidence.
• Working capital challenges: Current liabilities (£11,011) exceed current assets (£3,767), indicating potential short-term liquidity issues that could impede operational stability.
• Founder dependency risk: With 100% ownership and no employees, the business is highly dependent on the founder’s expertise and availability, posing risks for scalability and continuity.
• Competitive pressures: The IT consultancy space is crowded with numerous small operators and larger firms offering bundled services, which may limit pricing power and client retention.
• Regulatory and technological change: Rapid shifts in cybersecurity threats and compliance requirements necessitate continuous investment in skills and tools, which may strain limited resources.