Legal

What You Need to Know About Documents and the Law

Whether you are the owner of a well-established business, or a small or medium start-up enterprise, certain legal requirements apply to all business owners. No matter what sort of company you own you will need to submit an annual tax return to the tax office, and a statement of your annual accounts to Companies House. Even if you are a one-person operation, if you are in business then you have a legal obligation to submit these documents at the end of every tax year.

Keeping on Top of Documentation One of the reasons many small and medium-sized enterprises have problems with accounts and documentation, is that they are unaware of the many different types of documents they need to retain, and for how long they need to be kept. Keeping on top of your company documentation is crucial if you want your business to be successful. Whether it’s employee contracts, business documentation, or invoices, you need to be aware of how long these documents should be kept.

Documents and the Law

The simplest way of dealing with accounts and other documents is to use the services of a good document storage and management company. When you choose the right service, the company will categorize all of your documents, including their retention dates.

Document Retention retention date refers to the amount of time the government requires businesses to keep certain documents. You will for example, need to keep all the documents relating to the formation of your company permanently. Tax returns and documents relating to sales and services need to be kept for ten years. The increase in the number of documents that companies are legally required to keep, and for how long, can be a problem. If you want to keep on top of your company documents and still have room to move in your company offices, you may need the help of a document storage company.

Document Management The best companies don’t simply store your documents, they categorises them, e.g. by their retention periods, or the date from accounts due, which means you don’t have to keep all of this stuff in either your company office or your head! Streamlining how your paperwork and documents are dealt with means that you will have the time to concentrate on expanding your business, instead of worrying about company documents. The best document management companies will have systems whereby you can have an electronic or hard copy of any document within a few hours of requesting it.

Less Worry When busy companies manage their own documentation, it can take days rather than a few hours to locate the correct invoice or accounts statement. The best systems store all of your accounts and documentation in the Cloud, which makes them easy to access, and means that you will no longer find yourself hunting for hours for mislaid or lost documents. Knowing that your documents are in safe hands, and easily accessed in a short time, relieves you of worrying about paperwork and ensures the smooth running of your business.