Accounting Standard – Accounting periods beginning on or after 1 January 2016 can no longer be prepared using the Financial Reporting Standard for Smaller Entities (FRSSE). Accounts for most companies with turnover up to £632,000 will be prepared under the Micro Entities Regime (FRS105).
Micro accounts lack detail and so we also prepare detailed accounts with up to four years comparative figures to allow you to review your figures in more detail. The detailed accounts do not get filed with Companies House or HMRC and will not form part of the public record.
When filing with Companies House you can further take advantage of the exemption to not file the Profit and Loss page of the Micro Accounts. In which case it will only be the accountants report and summarised balance sheet on the public record.
Disclosures – Although the Micro Accounts have significantly reduced disclosure requirements, you must disclose the following if applicable:
Loans to directors, guarantees made by the company on behalf of director
This would normally only be needed if the company has made a loan to a director. This is not needed if it is the company that owes the director.
Financial commitments, guarantees and contingencies
This could include a financial commitment to continue to make rent payments into the future for example. Or could be a possible asset or obligation that might arise from past events but the future outcome is uncertain, for example a compensation case which you are disputing.