UK Annual Requirements: Micro-entity & Medium Sized Companies
This 2 part series is part of a guide detailing Annual Requirements for UK registered companies. It will cover the rules governing filing of annual returns and accounts of UK registered companies, by company type.
A sub-set of small company classification, which is applicable to very small companies.
A micro-entity must meet at least two of the following conditions:
- Turnover must be no more than £632,000.
- The balance sheet total must be no more than £316,000.
- The average number of employees must be no more than 10.
Exemptions available for micro-entity companies:
- Balance sheet with a reduced set of information than that required by small, medium or large company.
- Exemptions to audit.
In order for a company to qualify as a medium-sized company must meet at least two of the following conditions:
- Annual turnover must be no more than £25.9 million.
- The balance sheet total must be no more than £12.9 million.
- The average number of employees must be no more than 250.
Exemptions available for medium-sized companies:
- Abbreviated profit and loss account (this must be full if preparing IAS accounts).
All other companies that do not meet the criteria for small or medium-sized and micro-entity are large companies and will have to prepare and submit full accounts.
A company is qualifies as a small, medium-sized or micro-entity in relation to a financial year if it meets the qualifying criteria for 2 consecutive years.
|Year 1||Year 2||Year 3||Year 4||Year 5||Year 6||Year 7|
|Size Criteria Met:||Small||Medium||Small||Medium||Medium||Small||Small|
Account Types that can be filed online:
- Dormant company accounts.
- Audit exempt abbreviated accounts.
- Audit exempt full accounts.
In all the above cases accounts should be an exact copy of the accounts already prepared and signed on behalf of the company’s board of Directors.
All companies must keep proper bookkeeping accounting records.
Accounting records should be kept at its registered office or place that the directors think suitable.
Accounting records should be kept for 3 years from the date they were made.
For any more detailed information you can visit the Companies House website by clicking here.
This article is a 2-part series. Click here to view UK Annual Requirements: Dormant & Small Companies.
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