OFARRELL IT CONSULTING LTD

Executive Summary

** Ofarrell IT Consulting Ltd is a micro-sized private IT consultancy demonstrating solid financial growth and strong liquidity typical of a startup in the UK’s competitive IT consultancy sector. Its small scale and focused leadership provide agility but limit market reach compared to larger firms. Positioned to leverage current digital transformation trends, the company must strategically navigate competitive pressures to scale and enhance its market position. **

OFARRELL IT CONSULTING LTD - Analysis Report

Company Number: 13953061

Analysis Date: 2025-07-20 14:51 UTC

1. Industry Classification
   Ofarrell IT Consulting Ltd operates under SIC code 62020, which corresponds to "Information technology consultancy activities." This sector is characterized by providing expert advice and support in IT strategy, systems integration, software implementation, and technology optimization. The UK IT consultancy sector is competitive and dynamic, driven by rapid technological advancements, digital transformation demands, and increasing reliance on cloud computing, cybersecurity, and data analytics.

2. Relative Performance
   As a micro-entity, Ofarrell IT Consulting Ltd’s financial metrics are modest but show strong growth. Its net assets increased from £3,154 in 2023 to £30,078 in 2024, reflecting improved working capital and possibly retained earnings or capital injection. The company’s net current assets rose substantially to £28,751, indicating a solid short-term liquidity position compared to its current liabilities of £8,307. With 2 employees in 2024, it remains a micro-scale operation, typical for a startup or boutique consultancy. Compared to industry norms, larger IT consultancies often have multi-million-pound turnovers and extensive fixed assets; however, micro entities like this generally focus on niche or local markets, leveraging specialized expertise rather than scale.

3. Sector Trends Impact
   The IT consultancy sector is currently influenced by several key trends:

• Increased digital transformation across industries, creating demand for consultancy in cloud migration, AI integration, and cybersecurity.
• Growing emphasis on remote work technology and infrastructure optimization.
• Competitive pressure from both large multinational consultancies and agile small firms.
• Regulatory changes around data protection (GDPR) affecting consultancy services.
  Ofarrell IT Consulting Ltd, as a micro player, is well positioned to capitalize on niche consulting opportunities, agile client servicing, and personalized IT solutions. However, it faces the challenge of scaling operations and differentiating in a crowded market.

4. Competitive Positioning
   Strengths:

• Strong balance sheet growth despite micro size, indicating prudent financial management.
• Small team allows for flexibility and personalized client engagement.
• Sole ownership by an experienced IT consultant (Mr Sean Derek O’Farrell) suggests focused leadership and potentially deep domain expertise.
  Weaknesses:
• Limited scale may restrict ability to compete for larger contracts or multi-disciplinary projects common in the sector.
• Minimal fixed assets and small workforce limit capacity for rapid expansion or service diversification.
• As a relatively new company (incorporated 2022), brand recognition and market penetration may still be developing compared to established competitors.

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