Life and travel
Last checked : 30/11/2018

Accounting for small and micro businesses

UK decision to invoke Article 50 of the TEU: More information

As of 30 March 2019, all EU law will cease to apply to the UK, unless a ratified withdrawal agreement establishes another date, or the European Council and the UK decide unanimously to extend the two-year negotiation period. For more information about the legal repercussions for businesses:

Keeping annual accounts is not only a legal obligation, it enables you to monitor the health of your business by keeping track of receipts and expenses. Companies with limited liability doing business in the EU, whatever the size, have to prepare a set of financial statements and file it with the relevant national business register.

If you are self-employed or if your business is incorporated in a type with unlimited liability, your business is not regulated by EU rules: you should check the rules which have been decided by each Member State.

Simple rules for small businesses

If you are a small company (not more than 50 employees), the financial statements comprise only a balance sheet, a profit and loss account, and a few explanatory notes. A Member State may additionally require an audit and a management report.

Extra-simple rules for micro-companies

Micro-companies are those which have:

Member States may set lower amounts: please check in any case the relevant figures.  If your small business exceeds 2 of these 3 criteria for 2 consecutive years, the rules of small companies will apply!

Depending on the Member State where you are located, the extra-simple regime for micro-companies may feature the following:

Even though these simplified rules are permitted by the EU law, not all EU countries apply them.

Dig deeper, country by country:

Choose country

* Information not yet provided by national authorities

Related topics

EU legislation

Public consultations

Need support from assistance services?

Get in touch with specialised assistance services

Local business support - Do you have questions on operating a business cross-border, for example exporting or expanding to another EU country? If so, the Enterprise Europe Network can give you free advice.

Share this page: