Small or micro?
Every micro-entity is also small, but the micro-entity limits are much lower: £1 million turnover, £500,000 balance sheet total and 10 employees, two of three, for years from 6 April 20251. A micro-entity can file simpler micro-entity accounts. A company over two of those limits, but within the small limits, prepares small company accounts. Read micro-entity limits to check which applies.
| Micro-entity | Small | |
|---|---|---|
| Turnover | £1 million | £15 million |
| Balance sheet total | £500,000 | £7.5 million |
| Average employees | 10 | 50 |
Meet at least two of the three in a column to qualify, in a financial year starting on or after 6 April 20251. After the first year, qualifying (and losing it) generally looks at two consecutive years, so one unusual year doesn’t change a company’s size on its own3.
What the accounts contain
The accounts the shareholders receive include a profit and loss account, a balance sheet and notes1. Section 1A asks for those primary statements and limited notes, not the other primary statements full FRS 102 requires, though a statement of comprehensive income and a statement of changes in equity are encouraged4. HMRC’s view is that these reduced disclosures would not typically change a company’s tax position4.
What goes on the public register
A small company doesn’t have to deliver its directors’ report or its profit and loss account to Companies House. If it leaves the profit and loss account out, the balance sheet must say so1. Many small companies file just the balance sheet and notes for this reason.
Some small companies file abridged accounts, which show only the main headings4. All the members must agree to them2, and the balance sheet must state that “The members have agreed to the preparation of abridged accounts for this accounting period”1.
Check your company’s dates and set a reminder
Search the Companies House register. Your company page shows its filing dates, what to file next and a reminder you can set.
Audit exemption
Small companies can usually claim exemption from audit if they meet the criteria1,2. From 1 April 2028 the directors’ statement claiming exemption will need to be fuller, confirming the company qualifies1.
Deadlines and changes ahead
A private company files within 9 months of its year end, or for first accounts covering more than 12 months, within 21 months of incorporation or 3 months from the year end if that’s longer1. From 1 April 2028 all accounts must be filed with commercial software, and paper filing ends1.
Filing through Fileyear
Fileyear files small company accounts, as well as micro-entity and dormant accounts, each with the company’s tax return. Its accounts and tax return checks the size rules and tells you which version your company needs before you pay.