Filing abridged company accounts
Companies that are dormant or qualify as a small company or ‘micro-entity’ can choose to send a simpler set of accounts known as abridged accounts to Companies House and do not need to be audited. These abridged accounts contain a simpler balance sheet and mean that less information about the company will be available in the public domain.
A company is usually classed as dormant by Companies House if it’s had no ‘significant’ transactions in the financial year to be reported.
A small company is defined as a business with two of the following:
- a turnover of £10.2 million or less;
- £5.1 million or less on its balance sheet;
- 50 employees or less.
A micro-entity is defined as a business with two of the following:
- a turnover under £632,000;
- £316,000 or less on its balance sheet;
- 10 employees or fewer.
If your company is a micro-entity, you can:
- prepare simpler accounts that meet statutory minimum requirements;
- send only your balance sheet with less information to Companies House; and
- benefit from the same exemptions available to small companies.
Abridged accounts can only be sent with the agreement of all the company members.
No Advice
The content produced and presented by Streets is for general guidance and informational purposes only. It should not be construed as legal, tax, investment, financial or other advice. Furthermore, it should not be considered a recommendation or an offer to sell, or a solicitation of any offer to buy any securities or other form of financial asset. The information provided by Streets is of a general nature and is not specific for any individual or entity. Appropriate and tailored advice or independent research should be obtained before making any such decisions. Streets does not accept any liability for any loss or damage which is incurred from you acting or not acting as a result of obtaining Streets' visual or audible content.
Information
The content used by Streets has been obtained from or is based on sources that we believe to be accurate and reliable. Although reasonable care has been taken in gathering the necessary information, we cannot guarantee the accuracy or completeness of any information we publish and we accept no liability for any errors or omissions in material. You should always seek specific advice prior to making any investment, legal or tax decisions.
Share this article