Companies File a Confirmation Statement Services (Annual Return)

Businesses are required to file a confirmation statement, previously known as the Annual Returns Filing, with Companies House. This document is crucial for ensuring that the public record for a company is up to date. It provides a snapshot of the company’s details, including directors, shareholders, and registered office address. This article explores the importance of filing a confirmation statement, what it includes, the process involved, and the consequences of non-compliance.

Confirmation Statement

A confirmation statement is an annual requirement for all UK-registered companies, including limited companies and limited liability partnerships (LLPs). It serves as an update to Companies House, confirming that the company details held on the public record are accurate. The information provided in the confirmation statement must reflect the company’s situation at the time of filing.

A Confirmation Statement Include?

The confirmation statement is relatively straightforward and includes the following key details:

1. Company Information

• Registered Office Address: The official address where the company’s legal documents are sent.
• Principal Business Activities: The Standard Industrial Classification (SIC) codes that describe the nature of the business.

2. Directors and Secretary

• Directors’ Details: Names, service addresses, and other relevant information about the company directors.
• Secretary’s Details: If applicable, the details of the company secretary.

3. Shareholders and Share Capital

• Shareholder Information: Names of shareholders and details of their shareholdings.
• Statement of Capital: The total number of shares and their nominal value.

4. People with Significant Control (PSC)

• Information about individuals or entities that have significant control over the company, such as owning more than 25% of the shares or voting rights.

Filing a Confirmation Statement: The Process

Filing a confirmation statement is a straightforward process, but it must be done correctly to avoid penalties. Here is a step-by-step guide to filing your confirmation statement:

1. Prepare the Information

• Ensure that all company details are up to date before filing. This includes verifying directors’ details, registered office address, and shareholder information.

2. Login to Companies House

• Access the Companies House online filing service using your company’s authentication code.

3. Complete the Statement

• Follow the on-screen prompts to fill in the necessary details. The system will guide you through the various sections, ensuring that all required information is included.

4. Pay the Filing Fee

• A small fee is required to file the confirmation statement. As of now, the fee is £13 for online filing and £40 for paper filing.

5. Submit the Statement

• Review all the information carefully before submitting. Once submitted, the statement will be processed by Companies House.

When to File a Confirmation Statement

The confirmation statement must be filed at least once every 12 months. The due date is usually the anniversary of the company’s incorporation or the date of the last confirmation statement. Companies House will send a reminder when the statement is due, but it’s important to keep track of this date to avoid late filing.

Consequences of Not Filing a Confirmation Statement

Failing to file a confirmation statement can lead to serious consequences for a company. These include:

1. Penalties

• While there is no late filing penalty specifically for confirmation statements, failure to file can result in fines or other penalties, especially if it leads to the company being struck off the register.

2. Company Strike-Off

• Companies House may take action to strike the company off the register if a confirmation statement is not filed. This means the company would cease to exist legally.

3. Difficulty in Conducting Business

• Not filing a confirmation statement can raise red flags for investors, lenders, and other stakeholders. It may hinder the company’s ability to secure funding or enter into contracts.

The Role of Professional Services

Given the importance of filing a confirmation statement accurately and on time, many companies choose to use professional services to handle the process. These services ensure that all details are correct, helping to avoid errors and potential penalties.

1. Accuracy and Compliance

• Professional service providers are well-versed in the requirements and regulations surrounding confirmation statements. They can ensure that all information is accurately reported and in compliance with Companies House standards.

2. Time-Saving

• Outsourcing the filing process allows company directors and managers to focus on running the business, rather than worrying about administrative tasks.

3. Peace of Mind

• Knowing that experts are handling the confirmation statement filing gives business owners peace of mind, reducing the risk of missing important deadlines or making costly mistakes.

Conclusion

Filing a confirmation statement is a crucial responsibility for UK-registered companies. It ensures that the company’s details are up to date on the public record and helps maintain transparency with stakeholders. While the process is straightforward, accuracy is key, and the consequences of non-compliance can be severe. Whether filing the statement yourself or using professional services, it’s essential to ensure that this annual obligation is met promptly and correctly.