I sort of lost a client last week - when I say lost he sold 100% of his business to a competitor as he was potentially going to go under as he had lost a major contract - we are in the midst of the handover
His company was small (£250k turnover) and his competitor is a PLC who is large/full disclosure.
The transaction happened on 30th June which is also my client's year end date. My client - who was retained and will run his former company as director but not shareholder has asked (as have the new owners) that I prepare the last accounts to 30th June and do all the necessary submissions etc and they will take over thereafter.
However.....as the new owners (XYZ PLC) took over on the last day of the year does that then mean that the company no longer qualifies as small and as such has to prepare full accounts and as the parent is audited they too should be audited ?
As I see it - short of changing the companies House year end date to 29th June full accounts will be needed. OR and this is what we hope to be possible - can the ARD at Companies House stay at 30/06 BUT the accounts are prepared to 29th as you are allowed to draw them up to a date 7 days either side of the ARD. Or is that wishful thinking ?
If anyone has any advice I would be very grateful!