Lost - Your combined experience required


Over the past while, off and on, i've been thinking about upgrading my gear, wanting more open, airy and extended sound. I want to lose the slight veil currently existing in my setup that just takes away from the believability of the presentation. I'd like more dimension as well.

I've made threads about possible amp upgrades, speakers, source...all separate threads (over a period of time). But i've never made a thread asking your opinions on what you feel the weak link actually IS, in my case.

Gear:
CD - Rotel RCD 971/ Sony PS1 model 1001 (on its way)
Sugden a48b w/ upgrades including point to point wiring
Rega Ara speakers
Target sand filled metal stands
cheapo monster cable (i also have some ecosse cable, but that makes the system sound very flat, albeit somewhat more extended in the higher frequencies).

Room is small, one bedroom condo living room, open to kitchen. Living room area is approx 14 x 10 or so (maybe a bit longer)

The system is on the better-sounding long wall of the room (not the dividing wall). I have fussed around w/ speaker placement to no end, finding strengths and compromises in a variety of positions, but with no fully satisfying results.

I came to a quick conclusion that my speakers are the weak link here, but now i'm not so sure. After reading about the Ara's and how others describe them, it sounds like I may be wrong.

On a hunch, i started reading up more on that particular sugden model and I've come to realize that it's generally not considered the most transparent in the world. It IS a good amp, mind you - quality performance. But perhaps just a little too antiquated for the sound i'm looking for.

I'm not too concerned about the source at the moment, since I'll soon have two players to swap in and out.

But I'm really lost in terms of whether i should swap speakers or amp (or both!). I'm on a budget and I don't really want to fuss around and risk poor matching etc etc...

With all your combined experience, I'm bound to glean some sort of insight from some of you. Hopefully. Thoughts? Please? ha
loose
Two ideas:

1) go to The Cable Company http://www.thecableco.com/ and tell them what system you are using and whatever you think is a reasonable budget for interconnects and speaker wires. Ask to borrow at least two sets of each and try them for an extended period of time in your system, allowing for break-in/warm-up as needed till the sound doesn't change with subsequent listening. Does this make a noticeable difference?

2) Agree with Mapman, more power is a good thing with many smaller speakers (in order to grab a hold of those little woofers and show em who's the boss. Your amp is older and there are some better ones available used in the $300-750 range. Check on Agon and elsewhere for options. Spending less than this amount doesn't get you much if anything more than you have with the Sugden. Some amps to look at used in this price range include Rega Brio or Mira, NAD C-372 or 352, Cambridge Audio Azur 740A, 640A v2, Exposure 2010S (good luck!), Onkyo A-9555, Music Hall A25.2, Creek 5350SE.

If you buy used, you could resell at very little risk to you. If you find one you like better than your current amp - sell your Sugden to recover some costs.
This is a tough one. Any component can be a weak link in your setup. While one thinks it's the amp and the other reckons the speaker, the third person may say it's the source.

I suppose the more important question is which component upgrade will yield the biggest improvement in sound quality.

If I were you I would look at the loudspeakers first. Veil in music can be caused by many reasons with quality of loudspeakers being an important one. The Harbeth P3ESR is an excellent choice if it's within your budget. Others may add more options into the list.
If you haven't already, you could try some used Klipsch Heresy II on factory risers or short stands (use them without the grills)...if you don't like that sound you should be able to sell them quickly again and move on. They are very easy to drive and sound good at both low levels and high levels. Often small speakers can compress dynamics and when that happens detail retrieval goes out the window. Speakers like this will give you excellent flexibility for your next amp decision...almost any amp will drive them easily. They are available used on CAM every so often.
Mapman and knownothing: the previous owner of the sugden had it running a pair of totem model 1s without issue. The current reserve on tap is substantial on this amp, so I do not believe this to be the issue. When I mention 'breaking up at higher volumes', it's not distortion as a result of running out of juice, without a doubt. It's a speaker limitation. Having said that, the amp simply may not be my 'flavour' and yes, i agree, its age is definitely a factor, since current amps tend to be more revealing in general.

By the way, i failed to mention in my first post that my room is very dead sounding (unfortunately), which is definitely playing a major factor here.

Thanks for the cable co. link (never knew about that site).

Ddd1 - i've never actually consider Klipsch... Maybe I should at least do a little research...

All responses are very much appreciated, people. It just bugs me that I can't seem to approach the type of sound I USED to have w/ my former system. (and i used to nit pick about that one too, despite the fact that it was a lot better than this setup!)