TURTLE PROJECTS LTD

Executive Summary

Turtle Projects Ltd is currently in a precarious financial position with severe liquidity and solvency issues, reflected by large negative net current assets and shareholders’ funds. The company’s capacity to service debt or meet credit obligations is highly doubtful, warranting a credit decline. Close monitoring of future financial performance and creditor interactions is essential to reassess creditworthiness.

TURTLE PROJECTS LTD - Analysis Report

Company Number: 13032158

Analysis Date: 2025-07-29 17:38 UTC

1. Credit Opinion: DECLINE Turtle Projects Ltd exhibits significant financial distress as evidenced by its large net current liabilities of £36,474 at the latest year-end (31 Jan 2024), a drastic deterioration from a modest net current asset position of £439 the previous year. The company’s shareholders' funds have turned sharply negative to £-36,474, signaling an erosion of equity and indicating insolvency concerns. Given this substantial negative working capital and equity deficit, the company’s ability to meet short-term obligations and service new credit facilities is highly questionable. There is no indication of profitability or operational cash inflows to mitigate this position. Therefore, approval of credit facilities is not recommended at this time.

2. Financial Strength: The balance sheet shows a severe weakening over the last year. Current liabilities have more than doubled from £14,784 to £36,525, while current assets have nearly dried up to a mere £51 in cash, with no debtors reported in 2024 (down from £15,148). The removal of debtors is unusual and may reflect write-offs or collection issues. The company has only nominal share capital of £100, and accumulated losses have eroded retained earnings to a deficit of £36,574. This negative net asset position implies the company is effectively insolvent under standard accounting definitions.

3. Cash Flow Assessment: Cash holdings have plummeted from £75 to £51, a trivial amount insufficient to cover even a fraction of current liabilities. The absence of debtors in the latest accounts suggests no receivables to convert to cash imminently. The extreme negative net current assets position indicates a working capital crisis. Without evidence of new capital injections or positive operating cash flow, liquidity risk is very high. The company is unlikely to be able to meet creditor demands or short-term debts without external support.

4. Monitoring Points:

• Watch for subsequent filings to assess whether the company can restore positive working capital.
• Monitor creditor payments and any defaults or delayed payments reported.
• Assess any restructuring efforts or capital injections by shareholders.
• Review director statements for plans to improve financial health or intentions regarding insolvency if conditions worsen.
• Track changes in trade creditors, tax liabilities, and other creditors to see if liabilities continue to escalate.