SURROUNDING COUNTIES LTD

Executive Summary

Surrounding Counties Ltd is a growing micro/small enterprise operating in the UK landscaping and domestic construction sectors, demonstrating solid financial health and asset growth since its 2022 inception. The company benefits from diversified service offerings and committed management but faces typical challenges of scale and competitive pressures inherent to these fragmented markets. Positioned as a quality-focused niche player, Surrounding Counties Ltd aligns well with current industry trends favoring outdoor space enhancement and sustainable practices.

SURROUNDING COUNTIES LTD - Analysis Report

Company Number: 14289414

Analysis Date: 2025-07-29 12:55 UTC

1. Industry Classification

Surrounding Counties Ltd operates primarily in the landscape service activities sector (SIC 81300) and also engages in the construction of domestic buildings (SIC 41202). These sectors are typically characterized by project-based work, reliance on skilled labour, and seasonal fluctuations in demand. The landscaping industry in the UK involves garden design, landscaping, and aftercare services, often tied to residential and commercial property development. The construction of domestic buildings relates to new builds, extensions, and renovations of residential properties, a sector sensitive to housing market trends and regulatory changes.

2. Relative Performance

As a private limited company incorporated in 2022, Surrounding Counties Ltd is clearly a micro to small-sized enterprise within its sectors, based on the financials and employee count (average 3 employees). Its net assets increased from £38,336 in 2023 to £70,763 in 2024, indicating solid growth and capital retention, which is positive for a young company.

Comparing financial metrics typical in landscaping and small-scale construction:

• Net current assets of £63,274 in 2024 suggest good short-term liquidity and working capital management relative to its size.
• The modest fixed asset base (£25,409 in 2024) reflects a typical capital-light model common in landscaping firms, which invest mainly in machinery and vehicles rather than heavy plant.
• The presence of director loans totaling around £51,364 indicates internal financing support, normal for early-stage companies in these sectors.
• Cash levels near £45k are reasonable to support ongoing operations but indicate the company is not excessively cash-rich, which aligns with sector norms where cash flow is tightly managed.

Overall, Surrounding Counties Ltd’s financial profile aligns with expectations for a new entrant in landscaping and domestic construction, showing controlled growth and conservative asset deployment.

3. Sector Trends Impact

The landscaping and domestic construction sectors have experienced several recent trends that affect businesses like Surrounding Counties Ltd:

• Increased demand for outdoor living spaces and garden improvements post-pandemic has driven growth in landscaping services.
• Supply chain disruptions and cost inflation in construction materials have stressed margins in domestic building projects.
• Regulatory emphasis on sustainability and green building practices is pushing firms towards eco-friendly landscaping solutions and energy-efficient construction.
• Labour shortages and skills gaps in both sectors create operational challenges but also opportunities for companies that maintain strong workforce retention and quality.
• Rising interest rates and economic uncertainty may dampen new housing starts, impacting domestic construction demand but potentially benefiting maintenance and landscaping work.

These dynamics suggest Surrounding Counties Ltd is operating in a growth-oriented yet competitive environment requiring adaptability and quality service delivery.

4. Competitive Positioning

Strengths:

• Early-stage growth evidenced by doubling net assets within two years.
• Balanced mix of landscaping and domestic construction services allows income diversification.
• Location in Oxfordshire, a region with demand for residential development and affluent property owners, supports market opportunities.
• Director involvement and internal financing via loans denote committed management and financial resilience.
• Website presence and branding focused on contemporary garden design point to a niche positioning emphasizing quality and innovation.

Weaknesses:

• Small scale limits bidding capacity on larger contracts and reduces economies of scale.
• Limited fixed assets may constrain capacity expansion or large project execution.
• Relatively high director loans could indicate dependence on internal funding rather than external capital.
• No audit, which is common in small companies, but may restrict credibility with larger clients or lenders.
• Market competition from both large landscaping firms and small local contractors is intense, requiring strong differentiation.

Compared to typical competitors, Surrounding Counties Ltd is a niche player leveraging a quality-focused approach in landscaping and construction. It is not a market leader but shows promising growth and financial prudence typical of successful small enterprises in these industries.