Exploring AQSE

In this post we explore the Aquis Stock Exchange (“AQSE”) in more detail. We act as auditors to small cap plcs listed on AQSE, AIM and Euronext and also as reporting accountants on IPOs.

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Categorized as Plcs

Demergers

What is a demerger? Demergers or spin outs involve a company being separated from the rest of the group/business so that it can receive investment, list on a stock market or be sold. This is a very wide and complex topic so we’ll mainly focus on the scenarios which we normally come across and this… Continue reading Demergers

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Categorized as Tax

Reduction of capital

Companies may need to reduce their capital, for example to: repay excess cash to shareholders create distributable reserves to be able to pay dividends help with a demerger or spin out of a subsidiary In this article we consider the following key issues: legal process accounting treatment tax treatment (this article is a summary only,… Continue reading Reduction of capital

The main requirements of a strategic report

The main strategic report must contain the following sections as per the Companies Act 2006 s414C: (a) a fair review of the company’s business; (b) a description of the principal risks and uncertainties facing the company; (c) the review required is a balanced and comprehensive analysis, consistent with the size and complexity of the business,… Continue reading The main requirements of a strategic report

How to audit going concern under ISA 570

To audit going concern under ISA 570, the auditor should follow the principles and procedures of auditing going concern, which are the principles and procedures that govern the assessment of an entity’s ability to continue as a going concern. The key steps in auditing going concern under ISA 570 are as follows: Understand the entity… Continue reading How to audit going concern under ISA 570

Provisions & contingent liabilities and assets

IAS 37 and FRS 102 s21 apply to provisions, contingent liabilities, and contingent assets. They establishe the principles and rules for the recognition, measurement, and disclosure of provisions, contingent liabilities, and contingent assets in the financial statements. Provisions Provisions are liabilities that are recognized in the financial statements when it is probable that an outflow… Continue reading Provisions & contingent liabilities and assets

Related parties

Related parties are entities or persons that are related to the entity preparing the financial statements. Related parties may include the entity’s parent, subsidiaries, associates, joint ventures, and directors, key management personnel, and their immediate families. Related parties may also include entities or persons that have the ability to exercise significant influence over the entity,… Continue reading Related parties

How to account for leases under IFRS 16

To account for leases under IFRS 16, the entity should follow the principles and rules of accounting for leases, which are the principles and rules that govern the recognition, measurement, and disclosure of leases in the financial statements. IFRS 16 is the International Financial Reporting Standard that applies to leases. IFRS 16 replaces the previous… Continue reading How to account for leases under IFRS 16

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Categorized as IFRS

How to account for an associate

To account for an associate, the entity should follow the principles and rules of accounting for associates, which are the principles and rules that govern the recognition, measurement, and disclosure of associates in the financial statements. The key steps in accounting for an associate are as follows: Identify the associate: The first step in accounting… Continue reading How to account for an associate

How to prepare group accounts

Consolidated accounts are financial statements that present the financial position, performance, and cash flows of a group of entities as if they were a single entity. Consolidated accounts are prepared in accordance with the principles and rules of consolidation, which are the principles and rules that govern the combination of the financial statements of the… Continue reading How to prepare group accounts