WESTERLEA PROPERTIES (SCOTLAND) LIMITED

Executive Summary

Westerlea Properties (Scotland) Limited is a micro-sized specialist in the building completion and finishing sector, showing a recent improvement in financial stability with reduced liabilities and increased net assets. Operating in a niche segment with project-driven cash flows, it faces typical sector challenges including supply chain disruption and regulatory pressures but leverages its small scale for operational agility. While limited in scale compared to larger firms, the company’s financial prudence positions it well within its micro-entity peer group in the UK construction finishing trades.

WESTERLEA PROPERTIES (SCOTLAND) LIMITED - Analysis Report

Company Number: SC651801

Analysis Date: 2025-07-29 15:50 UTC

1. Industry Classification
   Westerlea Properties (Scotland) Limited operates within the construction sector, specifically classified under SIC code 43390 — "Other building completion and finishing." This niche classification covers activities related to the final stages of building construction including internal finishing, decoration, and other completion works. This sector is characterized by its role as a downstream component of the construction value chain, often servicing residential, commercial, and public building projects. Companies in this classification tend to be smaller scale, project-based, and labor-intensive with fluctuating demand tied to broader construction cycles.

2. Relative Performance
   As a micro-entity with modest financial scale, Westerlea Properties presents net assets of £67,528 as of 31 March 2024, a substantial increase from only £55 net assets in the prior year. Current assets decreased significantly from £633,034 to £112,883, while current liabilities reduced proportionally from £612,311 to £32,252, indicating a major deleveraging or completion of prior projects. The firm employs an average of only 2 persons, typical of small specialist contractors or subcontractors in the finishing trades. Compared to industry norms for micro firms in this segment, the company’s financials reflect a lean operational structure with low capital intensity. However, the volatility in asset and liability levels year-over-year suggests a project-based revenue model with variable cash flows rather than sustained recurring income.

3. Sector Trends Impact
   The building completion and finishing sector in the UK is influenced by broader construction industry cycles, which have recently been impacted by supply chain disruptions, rising material costs, and labor shortages post-pandemic. Additionally, increasing regulatory requirements around building safety and sustainability (e.g., fire safety regulations, energy efficiency standards) place pressure on completion specialists to invest in compliance and adapt techniques. The demand for renovation and refurbishment work also fluctuates with housing market dynamics and public infrastructure spending. For a micro-entity like Westerlea Properties, these trends can translate into both opportunities for specialized, high-value finishing work and risks from project delays or cost overruns.

4. Competitive Positioning
   Westerlea Properties occupies a niche as a small-scale, private limited company focused on building completion and finishing, likely serving local or regional clients given its Stirling, Scotland location. Its low employee count and micro-account status suggest it competes by agility and specialization rather than scale. Strengths include a clean balance sheet with positive net assets and reduced liabilities in the latest year, indicating financial prudence. Weaknesses include limited scale, which may restrict bidding on larger contracts or achieving economies of scale. Compared to typical competitors in this micro segment, its financial turnaround from a near-zero net asset base to a modest positive position is a positive sign but also reflects the inherent volatility in project-based construction subcontracting. The company’s reliance on few employees may limit capacity but also reduces fixed overhead.