To file or not to file…….?
The rules are clear. Annual audited accounts are required to be prepared each financial year for an onshore limited liability company – and it’s good practice for any business as we all know.
Whether you are a micro or small business start-up or a multinational company the rules apply. But who obeys the rules?
Surely an obligation to file annual accounts centrally would be a logical step for the authorities. If these rules aren’t policed, they are unlikely to be followed – over the past 14 years, my experience is that regulations need to be implemented. What do you think?
The benefits to the company itself are huge. In the case of start-up businesses (who often struggle to secure finance), they may find it a lot easier if they have properly prepared financial statements. What is the exit strategy for any business in this region? Will any such strategy require a history of audited and qualified accounts?
The benefits to the economy even more so. How can there be an effective credit rating system for companies if accounts cannot be viewed?
Time to stop talking and start implementing measures to help the economy, foreign direct investment and commerce in general. I wonder if the much anticipated new Commercial Companies Law will address this vital missing Link?