I am a director of a property company. The company used to be audited as it was much bigger but since last year the directors resolved not to have the accounts audited and this was minuted. Only a few properties left and it's taking time to sell the property - it may take 2-4 years to fully wind up the business.
One of the directors insists on having a board meeting every year to minute that the company does not require an audit during that year. I'm just curious to know if this is a company law requirement, i was of the view that one resolution covering all future years was good enough - any advice would be greatly appreciated.
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Personally, if you don't need an audit you don't need to minute that you don't need an audit. The days of 'every company needs an audit' are long gone and with the subsidiary exemption from audit being around now (of which I have a number of clients that take this route) being even medium or large sized is no guarantee of needing an audit.
If you don't need one by company law, and the articles are silent on the matter[1], that is the end of it.
The balance sheet STATES what exemption is allowed, so minuting it as well seems overkill.
[1] Always fun story - I've run into Companies where an audit is required under the Articles, usually older companies (1985 or 1947 Acts), but no audit is undertaken as they are small. No one says a word, and no one seems to care.