Changes to accounting standards for UK’s smallest companies

After many years, the accounting standard used by the UK’s smallest companies, the FRSSE (Financial Reporting Standard for Smaller Entities) has been abolished and replaced by a number of new standards for small and micro-entities.

The changes come into force for accounting periods beginning on or after 1 January 2016 but can be adopted early for accounting periods beginning on or after 1 January 2015.

This includes a new standard, FRS 105, for micro-entities and a new section of FRS 102 for small entities to comply with the new EU Accounting Directive in the UK.

The key changes will see new recognition and measurement requirements and new disclosure requirements together with changes to the profit and loss account and balance sheet formats.

At Garbutt + Elliott we will be dealing with these changes on behalf of our clients so they will benefit from a seamless transition, if you would like to speak to us about these changes then please contact us on 01904 464100 or enquiry@garbutt-elliott.co.uk