Categories
COMPANY

How to approve Annual Financial Statements

Every year a company must draft a set of Annual Financial Statements (AFS) as per the Company’s Act. The statements reflect the financial position and performance of the company and must be approved via ordinary resolution by the directors.

Every year a company must draft a set of Annual Financial Statements (AFS) as per the Company’s Act. The statements reflect the financial position and performance of the company and must be approved via ordinary resolution by the directors. The resolution will confirm that the statement is accurate and true, as well as appoint a director to sign off the statement on behalf of the board.

This resolution can be automatically populated from your company dashboard on InfoDocs. See the video and the step by step instructions below.

Once you are in your profile, head to the company that you would like to approve financials for and select the, “Company” tab.

Company Tab

On the left you select, “Diary Dates” and then on the right hand select the, “Approve Financials” button. This will open up a window prompting you for information pertaining to the financial statement that you are approving.

Details of the AFS

You will need to fill in the following detail;

  • the professional’s details that drafted the financial statements,
  • the financial period that is being approved,
  • date the statement was published (should be within 6 months of the company’s year end),
  • The type of financial statement: Compilation, Independent Review or Audited,
  • Select the director that is authorized to sign on behalf of the board

Once you have completed the form, ensure the tick box is selected to populate your resolution and click, “Save”.


PDF Download link

A final window will pop up that includes the resolution for you to download and distribute to the board for approval. This resolution should be stored together with your signed AFS in your company records.

2 replies on “How to approve Annual Financial Statements”

Is there any way to go back and make changes. The resolutions has picked up one of the directors that is deceased.
Thanks,
From Mark who resides in Grahamstown the centre of the known Universe.

Good Day Mark,

Thank you for your comment. If I understand correctly, you would like to approve financials, however the director that is currently onboarded is deceased?
As long as your new director/s are onboarded you will be able to select an active director from the dropdown list.
In terms of redoing this approval you can just go ahead and fill in the form again from the dashboard or download the template from the template library to manually do so.

Let me know if this helps you,
Best regards,
Christie
0604097670

Leave a Reply

Your email address will not be published. Required fields are marked *