All 1931 Act companies are required to prepare annual financial statements. Part 1 of the 1982 Act sets out the requirements in detail and these are quite prescriptive.
Step 1 – Ask the Accountant to provide draft accounts.
Step 2 – Convene a Directors meeting for the purpose of reviewing and, if thought fit, approving the accounts. See draft minutes – Minutes – approve annual accounts (1931)
Step 3 – Sign the accounts. Note the requirement for 2 directors to sign the balance sheet.
Step 4 – File the original board minute together with a copy of the Accounts in the director’s minute book.
Step 5 – Arrange for the Company secretary to send a copy of the Accounts to each shareholder.
Note the accounts must be prepared under “generally accepted accounting principles or practice which is defined as UK GAAP / US GAAP or IFRS.
