Year end accounts
Written by Ray Coman
People open companies for several reasons, sometimes in response to a request from their agency to provide services in this way; sometimes to start a new business or project, or as a result of becoming self-employed. There are some benefits of using a company over being a sole trader. However, limited company status comes with a statutory requirement to file accounts with both HMRC and Companies House. These accounts have to include a balance sheet and be submitted in a statutory format, called iXBRL. Partnerships and sole traders are only required to file a Tax Return although, along with companies, they may find it valuable to have accounts prepared for management accounting or financial accounting purposes.
In addition to satisfying legal requirements, accounts can be used to:
- Prepare information for calculating business tax and producing Tax Returns.
- Raise finance, by supporting requests for business loans and other investment
- Assess the net value of the business at the year-end based on assets and liabilities.
- Analyse the performance of your business, in comparison with preceding years.
- Identify strengths, weaknesses, threats and opportunities of the business activity.
We use professional software to produce accounts to the standard format and file these online with Companies House and HMRC. Our systems are efficient with transferring relevant data from the accounts to the Tax Returns, for submission online to HMRC. The accounts serve a dual purpose of providing a clearly presented summary from which to analyse trends and improve the financial position and performance of the business. We would be pleased to adapt the statutory accounts to a report for financial accounting or management accounting purposes. We aim to prepare accounts which are look professional and are easy to understand.
Please contact us to discuss your needs and how we can assist.