Do I have to prepare financial statements as a light entrepreneur with a business ID?

If your company is considered a micro-enterprise, you do not need to do a financial statement.

A micro-enterprise is an accounting entity for which no more than one of the following thresholds has been exceeded in the last and preceding financial year:

• a balance sheet total of EUR 350 000,
• a turnover of EUR 700 000, or
• an average of 10 employees during the financial year.
• If your company is a micro-enterprise on these grounds and its accounting year is the calendar year, you do not need to prepare the financial statement.

If your company is a micro-enterprise on this basis and its accounting period is the calendar year, you do not need to prepare a financial statement.

The accounts must still be systematic and provide accurate information on business transactions, such as the amounts of trade payables and receivables and the information needed for tax purposes.

What does the financial statement contain?

Financial statements are a set of accounts for a financial year, showing the company's results and financial position. According to the Finnish Accounting Act, the financial statements include the following documents:

1. a profit and loss account, which describes the profit or loss
2. the balance sheet, which describes the financial position at the balance sheet date
3. notes to the profit and loss account and the balance sheet
4. financial statement
5. a report on the activities of the company annexed to the financial statements