NEW IMAGE BY DANIELLE LTD

Executive Summary

NEW IMAGE BY DANIELLE LTD is a micro-scale operator in the UK hairdressing and beauty treatment sector, exhibiting healthy liquidity and modest equity growth despite operational disruptions linked to the director’s health. As a niche local player, it faces typical industry pressures including reliance on proprietor input and sector-wide cost inflation, which constrain scalability and competitive resilience. Continued recovery will depend on stabilising management, expanding service capacity, and adapting to evolving consumer engagement trends.

NEW IMAGE BY DANIELLE LTD - Analysis Report

Company Number: 13586425

Analysis Date: 2025-07-20 15:30 UTC

1. Industry Classification
   NEW IMAGE BY DANIELLE LTD operates within SIC code 96020, which corresponds to "Hairdressing and other beauty treatment." This sector is characterized by a high degree of fragmentation with many micro and small enterprises providing personalized services such as hairstyling, beauty therapy, and related treatments. It is typically labour-intensive, relies heavily on customer loyalty and repeat business, and often experiences modest profit margins. The sector is sensitive to consumer discretionary spending and local economic conditions.

2. Relative Performance
   As a micro-entity with no employees reported in the latest period, NEW IMAGE BY DANIELLE LTD fits the typical profile of a small-scale, owner-managed beauty salon. The company’s balance sheet shows current assets of £43,534 against current liabilities of £15,120, yielding net current assets (working capital) of approximately £28,414, which is a healthy liquidity position compared to many peers in the micro hairdressing sector that often operate with tight cash flows. Shareholders’ funds increased from £10,955 in 2023 to £16,389 in 2024, indicating modest retained earnings growth despite operational challenges. However, the presence of negative fixed assets (£-11,250) is unusual and may reflect accounting adjustments or impairments rather than physical asset holdings, which is atypical but not uncommon among small service providers who lease premises or use minimal tangible assets.

3. Sector Trends Impact
   The hairdressing and beauty treatment sector has been navigating post-pandemic recovery dynamics, with fluctuating consumer confidence and shifting demand patterns influenced by economic inflation and discretionary spending constraints. Labour shortages and rising costs of supplies and rents have pressured margins industry-wide. Additionally, the sector is increasingly adopting digital booking platforms and social media marketing to attract clientele. NEW IMAGE BY DANIELLE LTD’s reported operational difficulties linked to the director’s health issues reflect an internal risk common to micro businesses that rely heavily on the proprietor’s active involvement. The absence of employees in the latest year suggests operational downsizing or temporary suspension of services, which aligns with sector vulnerabilities to personal contingencies and market volatility.

4. Competitive Positioning
   NEW IMAGE BY DANIELLE LTD is a niche player within the local beauty treatment market in Daventry, operating on a micro scale without the economies of scale or brand recognition that larger salons or chains benefit from. Its financials show reasonable liquidity and a positive equity position, which is a relative strength compared to many micro-entities that struggle with solvency. However, the loss of the founding director and reliance on new directors appointed in mid-2025 poses potential continuity risks. The business’s small size and lack of staff limit its competitive reach and resilience against larger competitors who can offer broader services and extended hours. Strategic focus on customer retention, service quality, and potentially digital engagement will be critical to enhancing its competitive standing in a challenging market environment.