Annual Financial Statements refer to the annual presentation of the entity's financial performance. They comprise a Balance Sheet, Statement of Profit and Loss, Statement of changes in equity. It explains the connection between a company's income statement and balance sheet.

Why are financial statements prepared annually?

Annual financial statements show a company's financial position over the span of the fiscal year. Establishing your business's finances is important for you, and to make sure you are complying with tax laws.

Do all companies need financial statements?

Not all companies are required to have their financial statements audited. Also, of those companies that should have audited financial statements, not all are required to have an audit committee. The Companies Act (the Act) provides for a new classification of companies.

What is the purpose of financial statements?

Financial statements provide a snapshot of a corporation's financial health, giving insight into its performance, operations, and cash flow. Financial statements are essential since they provide information about a company's revenue, expenses, profitability, and debt.

What makes a good annual report?

Annual Report should be professional, polished, and proof-read. An Annual Report serves as a transparent accounting of what you've accomplished over the past year, but also as a marketing piece. A great Annual Report can attract new donors, renewed donations from your base, and non-monetary support.