MYHRADVISOR LIMITED

Executive Summary

MyHRAdvisor Limited operates as a micro-entity in the competitive UK human resources services sector, facing typical challenges of small-scale HR consultancies such as limited resources and market penetration. The company’s recent negative net asset position and liquidity shortfall indicate operational difficulties uncommon for stable peers, likely influenced by sector pressures including digitisation and intensified competition. While its niche, low-overhead model offers some agility, strategic enhancements in financial management and service delivery will be critical to improve competitive positioning.

MYHRADVISOR LIMITED - Analysis Report

Company Number: 12768282

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

1. Industry Classification
   MyHRAdvisor Limited operates within the human resources services sector, classified under SIC code 78300, which encompasses the provision and management of human resources functions. This sector typically involves activities such as HR consultancy, recruitment, payroll services, and employee management solutions. The industry is characterised by high competition with many micro and small enterprises serving niche client bases, as well as larger consultancies offering integrated HR outsourcing solutions. Key drivers include regulatory changes in employment law, digital transformation in HR processes, and the increasing demand for flexible workforce management.

2. Relative Performance
   As a micro-entity with turnover and asset values below the micro thresholds, MyHRAdvisor Limited reflects typical characteristics of an early-stage or very small HR service provider. Its latest financials for the year ended July 2024 show a net liability position of £1,836, a significant decline from net positive equity of £553 in the prior year. The company’s current assets have sharply decreased from £2,526 to £392, while current liabilities increased slightly, resulting in negative net working capital of £1,856. This contrasts unfavourably with typical small HR service firms which generally aim for positive working capital to ensure liquidity and operational stability. The absence of employees suggests reliance on contracting or outsourcing rather than an internal workforce, which is not uncommon for micro HR consultancies but limits scalability.

3. Sector Trends Impact
   The UK human resources provision sector has been undergoing notable shifts due to digitisation, the adoption of HR tech platforms, and growing demand for compliance advisory amid evolving employment legislation post-Brexit and during economic uncertainty. Smaller HR consultancies like MyHRAdvisor face pressure from larger outsourcing firms and automated platforms offering cost-effective solutions. Additionally, the COVID-19 pandemic accelerated remote working trends, increasing demand for flexible HR support but also intensifying competition. The company’s financial deterioration could reflect challenges in client acquisition or retention in this competitive environment, or cash flow constraints limiting investment in technology or marketing.

4. Competitive Positioning
   MyHRAdvisor Limited appears to be a niche player within the micro-enterprise segment of the UK HR services market. Strengths may include agility, personalised service, and low operational overhead due to no staff employment. However, its financials indicate vulnerability: negative net assets and working capital deficits highlight liquidity risks uncommon among stable competitors. Without employees or significant fixed assets, scalability and service diversification are constrained. Compared to typical small HR firms which often maintain modest positive equity and invest in human capital, MyHRAdvisor’s current performance suggests operational or market penetration challenges. The company’s single director ownership structure can be a double-edged sword, enabling rapid decision-making but limiting resource access and management bandwidth compared to competitors with larger teams or investor backing.