Micro-entity accounts - shareholder consent?

microentity consent

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For future accounting periods, it's clear that if the company is 'small' and the directors want to prepare abridged accounts, they require the consent of all shareholders (which must be given annually). I have read that it must also be given retrospectively i.e. after the end of the accounting period to which it relates, which seems strange.

But what is the situation if the company is eligible to prepare micro-entity accounts? Do shareholders need to give consent or can the decision be made just by the directors? I can't find anything in the legislation (The Small Companies (Micro-Entities’ Accounts) Regulations 2013)...

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RLI
By lionofludesch
18th Oct 2016 14:56

Not all that strange. The shareholders need to make the decision in the light of past events rather than guessing what might happen.

If you're eligible for micro accounts, no need to ask for permission.

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Replying to lionofludesch:
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By mdmdmd
18th Oct 2016 16:34

Thanks. How did you know (about the board not need shareholders' permission to prepare micro-entity accounts)? Because someone is bound to ask me...

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RLI
By lionofludesch
18th Oct 2016 16:52

It's the director's option if they meet the criteria.

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