ICAEW.com works better with JavaScript enabled.

Continue reading

Directors’ reports

The directors of a company, excluding micro-entities, have a duty to prepare a directors’ report under s415 of the Companies Act 2006.

For most companies, a directors’ report must include: the names of the persons who, at any time during the financial year, were directors of the company; the amount (if any) that the directors recommend should be paid by way of dividend; and a statement in respect of disclosures provided to the auditors.

If the company has taken advantage of the small companies exemption in preparing the directors’ report, it does not have to contain the statement as to the amount that the directors recommend be paid by way of dividend. If taking up the small companies exemption, the directors’ report must contain a statement above the director’s or secretary’s signature and printed name to that effect.