UNIVERSAL DESIGN AND BUILD LTD

Executive Summary

UNIVERSAL DESIGN AND BUILD LTD operates as a micro-entity within the UK building project development sector, facing typical challenges of scale such as negative net assets and working capital deficits. Industry pressures such as rising costs and financing constraints disproportionately impact small developers, positioning the company as a niche or emerging player with limited financial strength relative to sector norms. Without strengthened capital resources and cash flow management, the company may struggle to compete effectively in the increasingly demanding UK building development market.

UNIVERSAL DESIGN AND BUILD LTD - Analysis Report

Company Number: 13518969

Analysis Date: 2025-07-20 11:51 UTC

1. Industry Classification

UNIVERSAL DESIGN AND BUILD LTD operates within the "Development of building projects" sector, classified under SIC code 41100. This sector encompasses companies engaged primarily in real estate development activities, including the construction and renovation of residential, commercial, or industrial buildings. Key characteristics include project-based revenue streams, significant capital requirements for land acquisition and construction, and exposure to economic cycles impacting property markets such as housing demand, interest rates, and regulatory frameworks.

2. Relative Performance

As a micro-entity with an average of 3 employees, UNIVERSAL DESIGN AND BUILD LTD is at the smallest end of the industry scale. Financially, the company reports net liabilities with net assets of -£16,857 as of 31 July 2024, an improvement from -£20,375 in the prior two years but still negative. Current assets stand at £26,236, while current liabilities remain high at £43,093, resulting in negative net working capital.

In contrast, typical building development firms—especially those beyond the micro category—tend to maintain positive net assets and positive working capital to manage project cash flows and supplier payments effectively. The negative equity and working capital position indicate financial stress or undercapitalization relative to sector norms, where successful developers usually demonstrate stronger balance sheets reflecting project advances, land assets, or investment capital.

3. Sector Trends Impact

The UK building project development sector is currently influenced by several dynamics:

• Rising construction costs and supply chain disruptions: These have increased project outlays, squeezing margins for smaller developers with limited negotiating power.
• Volatility in property markets: Fluctuating housing demand, partly due to changing mortgage rates and economic uncertainty post-pandemic, affects project viability and timing.
• Regulatory and sustainability pressures: Increasing requirements for energy efficiency and environmental standards entail additional upfront costs.
• Access to finance: Larger developers benefit from easier access to capital markets or bank financing, while micro-entities often face challenges in securing affordable funding.

UNIVERSAL DESIGN AND BUILD LTD’s micro status and negative net assets suggest it may be vulnerable to these pressures, with limited capacity to absorb cost shocks or delays in project execution.

4. Competitive Positioning

UNIVERSAL DESIGN AND BUILD LTD appears to be a niche player or startup in the building development market, given its recent incorporation (2021), micro size, and limited financial resources. Its financial statements indicate ongoing challenges with working capital and lack of net equity, which are critical weaknesses compared to more established competitors who typically have stronger balance sheets, diversified projects, and better cash flow management.

However, its small size could confer some flexibility and lower overheads, potentially allowing it to focus on specialized or local projects where larger firms may not compete aggressively. The ownership concentration (75-100% held and controlled by Director Saba Hussain) suggests centralized decision-making which can be agile but may also limit access to broader capital or industry networks.

Executive Summary