The Companies Act 2006 (‘the Act’) requires that a company keeps adequate accounting records. There is no requirement as to the form in which accounting records are kept, but they must be sufficient:
These records must in particular detail the following:
If the company’s business involves dealing in goods, records must be kept of the following:
The accounting records must be kept at the company’s registered office or at such other place as the directors think fit. The records may be kept outside the UK, but, if they are, certain accounts and returns must be sent to and retained in the UK. Normally, the records must be kept for at least six years from the end of the last company financial year. But they might need to be kept for longer if:
The accounting reference period determines a company’s ‘financial year’, in respect of which accounts must be prepared. Each financial year ends on the last day of the accounting reference period and accounts are made up to that date (or to a date within seven days of that date).