Non-trading/dormant: share capital breakdown

[spb888]

Hello

Your help would be greatly appreciated in understanding this matter for submitting the company accounts.

The company has paid and unpaid shares. The only director paid for some of the shares with the intention of giving the others to family members, which never happened. While the company was trading the balance sheet reflected only the paid shares but now the company is dormant. There are no other assets or liabilities for the company.

What is the best way to represent the unpaid shares for CH? Could you continue to show only the paid shares on the balance sheet and add a Note to the account to show the full breakdown of all the shares? Or do you need to do the breakdown of the shares on the balance sheet and not add a note? If the latter, would the unpaid shares be shown as Called up share capital unpaid or as a Debtor?

Thanks in advance for your help, much appreciated.

 

[MyAccountantOnline]

Hello

Your help would be greatly appreciated in understanding this matter for submitting the company accounts.

The company has paid and unpaid shares. The only director paid for some of the shares with the intention of giving the others to family members, which never happened. While the company was trading the balance sheet reflected only the paid shares but now the company is dormant. There are no other assets or liabilities for the company.

What is the best way to represent the unpaid shares for CH? Could you continue to show only the paid shares on the balance sheet and add a Note to the account to show the full breakdown of all the shares? Or do you need to do the breakdown of the shares on the balance sheet and not add a note? If the latter, would the unpaid shares be shown as Called up share capital unpaid or as a Debtor?

Thanks in advance for your help, much appreciated.

The accounts should show the total share capital both unpaid and paid.

The unpaid shares are shown as Called up share capital unpaid.

 

[spb888]

The accounts should show the total share capital both unpaid and paid.

The unpaid shares are shown as Called up share capital unpaid.

Thanks for your reply @MyAccountantOnline, much appreciated, and my apologies for the late acknowledgement. Would the following be correct and acceptable to submit?

Called up share capital unpaid: 2
Current assets: 3
Net assets: 5
Capital and reserves: 5

Many thanks

 

[MyAccountantOnline]

Thanks for your reply @MyAccountantOnline, much appreciated, and my apologies for the late acknowledgement. Would the following be correct and acceptable to submit?

Called up share capital unpaid: 2
Current assets: 3
Net assets: 5
Capital and reserves: 5

Many thanks

It looks a little unusual for a company that previously traded, but if the company had no retained profits brought forward and no other assets or liabilities, and it issued £5 in shares of which £2 was unpaid and £3 was paid that's correct.

 

[spb888]

It looks a little unusual for a company that previously traded, but if the company had no retained profits brought forward and no other assets or liabilities, and it issued £5 in shares of which £2 was unpaid and £3 was paid that's correct.

Thank you @MyAccountantOnline, much appreciated. Will confirm regarding the points you've mentioned but believe this to be correct.

 

[CandC]

The accounts should show the total share capital both unpaid and paid.

The unpaid shares are shown as Called up share capital unpaid.

Quick related question, under the model articles, are subscriber shares considered unpaid if given in exchange for know-how/director work?