YOUR KEY SPACE LTD

Executive Summary

Your Key Space Ltd operates as a micro business support service provider within the business and employers membership sector. Its financial position shows significant negative equity and working capital deficits, indicating liquidity challenges uncommon among stable peers in the industry. To improve competitive standing, the company must address its financial sustainability amid evolving sector trends that favor innovation and robust capital structures.

YOUR KEY SPACE LTD - Analysis Report

Company Number: 13621103

Analysis Date: 2025-07-29 16:38 UTC

1. Industry Classification
   YOUR KEY SPACE LTD operates primarily under SIC code 94110 (Activities of business and employers membership organizations) and SIC code 82990 (Other business support service activities not elsewhere classified). This places the company within the business support and membership services sector, which typically includes trade associations, professional bodies, and organizations providing administrative, advisory, or support services to businesses. Key characteristics of this sector include reliance on membership fees or service contracts, relatively low capital intensity, and a dependency on maintaining strong relationships with client organizations.

2. Relative Performance
   Financially, YOUR KEY SPACE LTD is currently experiencing significant net liabilities, with shareholders' funds at -£85,748 as of September 2023, worsening from -£45,979 in the previous year. The company’s net current assets are deeply negative (-£101,386 in 2023), indicating liquidity pressures and a working capital deficit. Compared to typical benchmarks within the business support services industry, which often operates with modest overheads and positive working capital due to recurring fee income, YOUR KEY SPACE LTD’s financial health is weak. Small and medium enterprises in this sector often maintain positive net assets and manageable current liabilities. The company's cash position is also modest (£4,353), which is low relative to current liabilities (£131,399). The financial trajectory suggests either a growth phase with investment-heavy operations or operational difficulties.

3. Sector Trends Impact
   The business support services sector is influenced by broader economic conditions affecting client budgets for memberships and support services. Post-pandemic recovery and digital transformation trends have pushed many organizations to seek more value-driven and technology-enabled business support. This can create both opportunities and challenges: companies that innovate and offer digital solutions or tailored advisory services tend to outperform, while those reliant on traditional models or with limited capital may struggle. Additionally, inflationary pressures and rising operational costs affect profitability. YOUR KEY SPACE LTD’s growing liabilities and negative equity might reflect challenges in adapting to these trends or cash flow timing issues typical in early-stage companies.

4. Competitive Positioning
   YOUR KEY SPACE LTD appears to be a small, possibly niche player within its sector, given its incorporation in 2021 and modest asset base. With only three employees, it is a micro enterprise compared to larger business support organizations. Strengths may include agility and potentially specialized membership or support offerings. However, the company’s financials reveal weaknesses in liquidity management and capital structure. The negative equity and increasing current liabilities suggest it may be relying on director loans or short-term financing, which can constrain competitive positioning. In contrast, more established competitors typically exhibit stable or positive equity, diversified revenue streams, and stronger balance sheets, enabling investment in technology and service quality enhancements. Without audited financials or profitability data, it is difficult to assess operational efficiency fully, but current figures imply a need for improved financial discipline or additional capital infusion to sustain growth or compete effectively.