Micro Entity Accounts Tamworth
Accountancy Services for Micro Entity Businesses
When you are busy trying to build, run, and grow a small business, you can be forgiven for not being au fait with the regulations and definitions that your business falls under when it comes to correct and accurate accounting.
A majorly common misconception is business owners naturally and setting their accounting practices as that of a ‘small business’, when in fact they are actually ‘micro-entities.’
Yes, it may sound like splitting hairs when both terms seem to point towards being small businesses, but the difference in terms of your accounting and the potential savings and losses your business could make is significant.
So, to help you understand whether your Lichfield business needs micro entity accounts services or small company accounting, Breslins will walk you through the definitions and explain the Lichfield chartered accounting and tax services we can offer your business. Whatever size it is!
Micro Entity Company Definition
Micro-entities are very small companies. Your company will be a micro-entity if it has any 2 of the following:
- a turnover of £632,000 or less
- £316,000 or less on its balance sheet
- 10 employees or less
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
- benefit from the same exemptions available to small companies
Small Company Definition
A Company is classed as small if it satisfies at least 2 of the following conditions:
- Its annual turnover is less than £6.5 million.
- It has a balance sheet of no more than £3.26 million.
- It employs less than 50 people.
If your company is small, you can:
- use the exemption so your company’s accounts do not need to be audited
- choose whether or not to send the director’s report and profit & loss account to HMRC.
- send abridged accounts to Companies House.
Our Lichfield Micro Entity Accounting Services
The obvious and major benefit of having a micro entity business status is that your set of accounts will be condensed and compact in relation to small, medium, and large business accounts, and naturally this means less information has to be disclosed to HMRC.
Whilst this is naturally very appealing, Breslins Lichfield strongly advises its local Lichfield micro entity accounts businesses to disclose detailed financial information, as such information is and will inevitably be required by lenders and suppliers when your business needs to use their services.
In terms of what you can expect from our micro entity accounts Lichfield services, Breslins can manage the following;
- Annual accounts
- Bookkeeping, cloud, and monthly accounts.
- Tax and VAT services
- And much more.
Let Us Look After Your Micro Entity Accounts
If you are a Lichfield business and require micro entity accounting services or advice for your operation, please contact Breslins Lichfield today. Our expert team has decades of accounting experience, as well as vast business knowledge across many sectors. Get a quote for our services today!