Changes to Companies Act

The Companies Act has changed. There are a number of changes, but these may be some of the more relevant ones:

• Accounts are now due within nine months of the year-end instead of the previous ten
  
• There is no longer a need for a company secretary;
• General duties of directors have been extended. They need to take into account six social factors when making company decisions as follows:-

1. The likely long term consequences of a decision
2. The interests of the company's employees
3. Relationships with the company's trading partners ( i.e. supplies, customers)
4. The effect of the company's operations on the community and the environment ( where practicable)
5. The desirability of maintaining the company's reputation for high standards of business conduct; and
6. The need to act fairly as between members.
   

. The thresholds for a statutory audit have been increased, such that a company is exempt from undertaking one as long as:

Turnover < £6.5m; and
Assets < £3.26m; and
Number of employees < 50

. Penalties for late filing of accounts have been increased, such that:

Up to 1 month late, £150;
1 - 3 months, £375;
3 - 6 months, £750;
> 6 months, £1,500

If you would like to discuss this with a qualified accountant, please contact us:

T: 01872 242800
e: support@finance4chiropractors.com