ULTIMATE IMAGE LIMITED

Executive Summary

ULTIMATE IMAGE LIMITED operates as a micro-sized entity in the competitive IT consultancy and video production sectors, currently experiencing financial difficulties marked by negative net assets and liquidity pressures. While the company’s niche positioning offers potential for specialized service delivery, its deteriorating financial health places it below typical industry benchmarks, constraining growth and competitiveness. To improve its market standing, addressing working capital management and enhancing investment in core capabilities will be critical amid evolving sector demands.

ULTIMATE IMAGE LIMITED - Analysis Report

Company Number: 12602498

Analysis Date: 2025-07-29 20:18 UTC

1. Industry Classification
   ULTIMATE IMAGE LIMITED operates primarily within SIC code 62020 (Information technology consultancy activities) and SIC code 59112 (Video production activities). This dual classification situates the company at the intersection of IT consulting and creative media production sectors. Both sectors are characterized by rapid technological advancements, high reliance on skilled personnel, and a strong emphasis on innovation and client customization. The IT consultancy segment typically demands up-to-date expertise in software development, systems integration, and digital transformation services, while the video production industry requires creative capabilities alongside technical proficiency in digital media tools.

2. Relative Performance
   As a micro-entity, ULTIMATE IMAGE LIMITED’s latest financials (year ended May 2024) reveal a significant deterioration in financial health compared to the previous year. The company reported net liabilities of £27,327, down from net assets of £33,739 in 2023, indicating a reversal in equity position. Current liabilities have increased substantially (£53,787 in 2024 vs. £31,118 in 2023), while current assets shrank notably (£11,114 vs. £44,689), resulting in negative working capital. Fixed assets also declined slightly, which may suggest either asset disposals or write-downs. Employment levels remained stable at five employees, which is typical for a micro-sized firm in this sector, but the financial strain could impact operational capacity. Compared to typical industry benchmarks for small IT consultancies and video production firms, which often maintain positive net current assets and shareholders’ funds to sustain ongoing projects and client engagements, ULTIMATE IMAGE LIMITED’s financial position is below average and indicates liquidity and solvency concerns.

3. Sector Trends Impact
   Both the IT consultancy and video production industries have been influenced by several key trends: increasing demand for digital transformation services, cloud computing, remote collaboration tools, and higher content consumption driving video production services. However, these sectors also face intense competition, rapid obsolescence of technology, and pricing pressures from both established players and freelance professionals. The company's financial decline could be reflective of challenges such as delayed client payments, project cancellations, or increased operational costs. Additionally, micro-entities often struggle to scale and invest in cutting-edge capabilities which are vital to stay competitive in these fast-evolving markets.

4. Competitive Positioning
   ULTIMATE IMAGE LIMITED appears to be a niche micro-sized player with a modest workforce and limited capital base. Its private limited company status with minimal share capital (£2) signals a small organizational structure, likely focused on bespoke client projects rather than mass-market offerings. The negative net assets and growing current liabilities indicate financial strain, which could weaken its negotiating position with suppliers and clients relative to better-capitalized competitors. The company’s ability to invest in technology, talent, and marketing is constrained compared to larger SMEs or medium enterprises in the IT consultancy and video production sectors. However, its dual-focus approach could allow it to differentiate by offering integrated IT and multimedia solutions, if operational challenges are addressed. Key weaknesses lie in liquidity management and balance sheet health, while strengths may include specialized expertise and flexibility typical of small consultancies.